If one person in an economy had all the income and the rest of the population had zero income,what would the value of the Gini coefficient?
A) 0.0
B) 0.5
C) 1.0
D) infinity.

Question

Quizplus · Accepted Answer

The Gini coefficient measures income inequality on a scale of 0 to 1, with 0 indicating perfect equality and 1 indicating perfect inequality. In this scenario, where one person has all the income and the rest of the population has zero income, the Gini coefficient would be 1.0, indicating perfect inequality.

If One Person in an Economy Had All the Income