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Calculating a Measure of Income Inequality
An economy's income distribution is described by a curve composed of straight line segments connecting the points (0,0), (4,0), (90,60), and (100,100). On this graph, the x-axis represents the cumulative percentage of the population from poorest to richest, and the y-axis represents the cumulative percentage of total income. Calculate the Gini coefficient for this economy. The Gini coefficient is the ratio of the area between the line of perfect equality (a straight line from (0,0) to (100,100)) and the income distribution curve, to the total area under the line of perfect equality.
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An economy's income distribution is represented by a curve defined by line segments connecting the coordinates (0,0), (4,0), (90,60), and (100,100). The x-axis represents the cumulative percentage of the population (from poorest to richest), and the y-axis represents the cumulative percentage of total income. Based on this information, what percentage of the total income is earned by the top 10% of the population?
Consider an economy where the distribution of income is represented by a curve connecting the points (0,0), (4,0), (90,60), and (100,100) on a graph where the x-axis is the cumulative percentage of the population (from poorest to richest) and the y-axis is the cumulative percentage of total income. Based on this data, the following statement is true: The wealthiest 10% of the population earns a smaller share of the total national income than the group of individuals between the 4th and 90th population percentiles.
Interpreting Income Distribution Data
Calculating Economic Inequality
Analysis of an Economy's Income Distribution
Calculating a Measure of Income Inequality
Calculating Income Share for a Population Segment
In an economy, the distribution of income is described by a curve connecting the points (0,0), (4,0), (90,60), and (100,100). The x-axis represents the cumulative percentage of the population from poorest to richest, and the y-axis represents the cumulative percentage of total income. What percentage of the total income is earned by the population segment between the 4th and 90th percentiles?
Calculating a Measure of Income Inequality
An economy's income distribution is described by a curve connecting the points (0,0), (4,0), (90,60), and (100,100), where the x-axis is the cumulative percentage of the population (from poorest to richest) and the y-axis is the cumulative percentage of total income. Match each population segment with its corresponding share of the total income.