Gini Coefficient
The Gini Coefficient measures statistical dispersion and is commonly used to measure income and wealth inequality
- Helps one understand the skew of a distribution
- Can be used to measure inequality (from a mathematical/statistics perspective)
- Does not measure from a values/societal perspective
- Found to be better than using averages
- see The Tyranny of Averages to understand problems with averages
- Values fall between 0.00 and 1.00
- The closer to 0.00, the more equal the data sample is
- The closer to 1.00, the more unequal the data sample is
- Names after Corrado Gini
- Also known as Gini Index
- Commonly used to measure Income & Wealth Inequality