The Global Economy Unit Test

Question

12 of 1812 of 18 Items

Question
How can a difference in Gini coefficients for the United States and China be interpreted?(1 point)
Responses

The United States and China differ in their access to information technology.
The United States and China differ in their access to information technology.

The United States and China differ in how developed their populations are.
The United States and China differ in how developed their populations are.

The United States and China differ in how evenly income is distributed among individuals.
The United States and China differ in how evenly income is distributed among individuals.

The United States and China differ in how much income is earned by their populations.

Answer 1

The correct interpretation of a difference in Gini coefficients for the United States and China is:

The United States and China differ in how evenly income is distributed among individuals.

The Gini coefficient is a measure of income inequality within a population, with a value of 0 representing perfect equality (everyone has the same income) and a value of 1 indicating maximum inequality (one person has all the income, and everyone else has none). Therefore, a difference in Gini coefficients would indicate a difference in income distribution between the two countries.