Based on the information in the tables , which one is the correct Gini coefficient of income inequality

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter4: Profitability Analysis
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Canada had the following distribution of Income after taxes in 2006 Based on the information in the tables , which one is the correct Gini coefficient of income inequality ? O a . 0.47 O b . 0.43 O c . 0.42 O d . 0.44 O e . 0.23
Deciles
cumulative share of income
Lorenz curve for after tax income in Canada
0%
(2006)
1
0%
1
2%
6%
2
0.8
4
11%
0.6
5
18%
0.4
26%
0.2
7
37%
50%
67%
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
1
9
share of population
10
100%
cumulative shareof income
equidistribution line
share of income
Transcribed Image Text:Deciles cumulative share of income Lorenz curve for after tax income in Canada 0% (2006) 1 0% 1 2% 6% 2 0.8 4 11% 0.6 5 18% 0.4 26% 0.2 7 37% 50% 67% 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8 0.9 1 9 share of population 10 100% cumulative shareof income equidistribution line share of income
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