Which of the following statements regarding the Gini index is true?
A) Zero percent stands for absolute equality.
B) It is a statistical measure of complexity.
C) Fifty percent represents absolute inequality.
D) Inequality reduces as the percentage figure rises toward 100.

Question

Quizplus · Accepted Answer

The Gini index measures income inequality, and a Gini coefficient of 0 represents perfect equality, where every member of society has the same income. Therefore, statement A is true. Statement B is incorrect as the Gini index is not a measure of complexity. Statement C is incorrect as 50% represents moderate equality, and statement D is incorrect as the higher the Gini coefficient, the greater the income inequality.

Which of the Following Statements Regarding the Gini Index Is