Understand wealth distribution with our Gini Coefficient calculator. Input income data to measure economic inequality and social disparity. A Gini index of 0 indicates perfect equality, while 1 indicates perfect inequality. Analyze economic trends and social welfare efficiently.
Formula:
How the Gini Coefficient is Calculated
The Gini Coefficient (G) is a measure of income or wealth inequality within a population. It ranges from 0 to 1, where 0 represents perfect equality (everyone has the same income) and 1 represents perfect inequality (one person has all the income).
For a given set of individual incomes x1, x2, ..., xn, sorted in non-decreasing order, the Gini Coefficient can be calculated using the formula:
G = ( Σi=1n (2i - n - 1) * xi ) / ( n * Σi=1n xi )
Where:
n= the total number of individuals in the population.xi= the income of individuali(after sorting all incomes).Σ= represents summation.
Our calculator simplifies this by taking a comma-separated list of incomes and applying this formula to provide an accurate Gini Coefficient.