Gini Index

Measure of income inequality where 0 represents perfect equality and 100 represents perfect inequality.

Quick Reference

Unit

Index (0-100)

Category

Economy

Metric Code

gini_index

How It's Calculated

Statistical measure based on the Lorenz curve. Represents the ratio of the area between the line of perfect equality and the observed Lorenz curve to the total area under the line of perfect equality.

Why It Matters

Income inequality affects social cohesion, economic growth, and political stability. The Gini index helps identify whether economic growth benefits are widely shared or concentrated.

Understanding the Values

Very Low: < 25 (highly equal, e.g., Nordic countries) Low: 25-35 (relatively equal) Medium: 35-45 (moderate inequality) High: 45-55 (high inequality) Very High: > 55 (extreme inequality) Most developed countries: 25-40 Most developing countries: 35-55

Related Metrics

Data Quality & Coverage

Coverage: ~150 countries (not all countries surveyed annually) Update frequency: Irregular (typically every 3-5 years) Source: World Bank Limitations: Measurement methods vary by country; data timeliness varies.

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