GPN 08 Gini Coefficients and Lorenz curves

What do Gini coefficients measure?

• Climate change

• Urbanization rates

• Wealth distribution

• Population density

What score represents perfect equality in Gini coefficients?

• 100

• 25

• 50

• 0

Which countries are mentioned as having high Gini coefficients?

• Middle Eastern countries

• South American countries

• African countries

• Scandinavian countries

What happens to Gini coefficients during a recession?

• They become irrelevant

• They tend to dip

• They remain unchanged

• They always increase

What can improve income equality according to the text?

• Increased taxation

• Investment in social programs

• Privatization of resources

• Decreased government spending

What is a characteristic of Singapore's economy?

• It is very equal on a global scale

• It has a centrally controlled economy

• It has a very strong informal economy

• It has no economic disparities

What does the Lorenz curve visualize?

• Urban development

• Climate data

• Wealth distribution

• Population growth

What does the straight blue line in a Lorenz curve represent?

• Population equality

• Ideal wealth distribution

• Actual wealth distribution

• Economic growth

What does a Gini coefficient of 100 indicate?

• Moderate inequality

• Absolute inequality

• High equality

• Perfect equality

What is a limitation of Gini coefficients mentioned in the text?

• They measure only income

• They are only applicable to developed countries

• They are always accurate

• They do not account for informal economies