Question 2 of 8 Map dob The tables below show the annual incomes for the citizen

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Question 2 of 8 Map dob The tables below show the annual incomes for the citizens in two countries, Melka and Sorare. Use this information to answer the questions below. The Nation of Melka Citizen Etta $20000Teddy$2000 Duke Louis Billie Cole Zora $19700 The Nation of Sorare CitizenIncome Based on the information here, which nation would you expect has the higher Gini coefficient? ncome $21000 $20000 Kermit $50000 Franklin $63500 Anna Eleanor$2000 Edith Melka Sorare They would have the same $1500 $19000 Gini coefficient $1000 Generally, what does the Gini coefficient measure? It is a measure of the percentage of income that the richest 1% in a country earns. It is a measure of the average income of the atzens of a nation. D it is a measure of how equal or unequal is an income distribution lt shows the dispanty in incorne between men and wormen. Ne Exit

Explanation / Answer

Gini coefficient is a measure of inequality defined as a ratio of the area between the Lorenz curve of the distribution and the uniform distribution line (line of perfect equality) and the total area under the uniform distribution line.

The distribution of income is more equitable in Melka than in Sorare hence, Gini coefficient will be high for Sorare.

As mentioned Gini coefficient is a measure of inequality. So the correct option is C

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