Economics · Income Inequality Indicators
If the Gini Coefficient value for an economy is equal to 0, it implies:
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- 1The bottom 40 per cent of the population receives 0 per cent of total income
- 2The Lorenz curve lies entirely below the 45-degree line of equality
- 3Perfect equality, where national income is distributed equally among all individuals✓
- 4Perfect inequality, where all national income is concentrated with a single individual
Correct answer
Perfect equality, where national income is distributed equally among all individuals
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