Answer to Question #205004 in Economics for Nonhlanhla

Question

Which of the following statements(s) is/are correct concerning the Gini coefficient?

a) The Gini coefficient is used to measure income inequally in a country.

b) The Gini coefficient is always 0 around the globe.

c) A country with a Gini coefficient of 0,77 is regarded as a very unequal society.

d) The value of the Gini coefficient typically lies between 0 and 100.

Answer 1

The only incorrect statement is that the Gini coefficient is always 0 around the globe, because 0 means full equality of income, which is impossible.

So, the correct answer is [4] a c d.