In 2012, Canada's Gini Index was 0.32 and Denmark's Gini Index was 0.25. Which of the following statements is true?
A) Canada has more income inequality than Denmark.
B) Canada has less income inequality than Denmark.
C) The per capital income is higher in Canada than in Denmark.
D) The per capita income is higher in Denmark than in Canada.

Question

Quizplus · Accepted Answer

The Gini Index measures income inequality, with a score of 0 indicating complete equality and 1 indicating complete inequality. Therefore, since Canada's Gini Index is higher than Denmark's, it means that Canada has more income inequality than Denmark. The per capita income is not related to the Gini Index, so we cannot determine which country has a higher per capita income based on this information alone.

In 2012, Canada's Gini Index Was 0