Finance glossary
Gini Coefficient
Definition
A statistical measure of income or wealth inequality.
The Gini coefficient ranges from 0, perfect equality, to 1, perfect inequality where one person holds everything. Economists use it to compare inequality across countries and over time. Many developed nations sit between 0.25 and 0.45.
In a sentence
A rising Gini coefficient showed that income inequality in the country was widening.
Get a word like this every morning
Word of the Day on your Home Screen, with quizzes and flashcards. Get the app →