Homework 13: Global inequality of Wealth

1. Read and take notes on the following from the double sided handout (slides 2 and 3):

a.) What patterns of inequality exist between countries (globally) ? - are there any exceptions? See fig 4.12 b.) ...and within countries. c.) What is the gini co efficient, how does it work and what patterns exist? Refer to data table 14.1. d.) What is a the Lorenz curve and how does it show inequality? 2. Using the separate 'activity' sheet (slide 4), complete tasks 1-6. Do task 3 on your own copy of Fig 4.11 (given in class) rather than on graph paper

Extension

Tasks 7/8 from activity sheet (slide 4)

You started this work in class. Use the info on the next set of slides to complete all unfinished tasks.

Another way of representing inequality is through the

Gini Coefficient.

The Gini index is a measurement of the income distribution of a country's residents. This number, which ranges between 0 and 1 and is based on residents' net income, helps define the gap between the rich and the poor, with 0 representing perfect equality and 1 representing perfect inequality. 

The Gini Coefficient is a ratio with values between 0 and 1. A coefficient of 0 would mean everyone in a place has exactly the same income. A score of 1 would mean all the wealth is controlled by one individual.

Inequality can also be represented graphically using the Lorenz Curve