Re: Gini Coefficient Questions!!!!

Posted by Sumit on Apr 30, 2013; 5:28pm
URL: http://discussion-forum.276.s1.nabble.com/Gini-Coefficient-Questions-tp7580221p7580255.html

@maahi: plz read above question carefully it is clearly specified that there are 5 individuals in an economy & all of them hv different income which mean there are only 5 income group....n yes, for this we need to assume that there is only five people in economy then only we can calculate the gini coefficient of economy(you can't calculate the gini coefficient of an economy if you hv income of a few people or in absolute words all the income group+ the no.of people in each income group in that economy).

n yes I also know both the formulas, I asked the above q26 answer  bcoz if you calculate its answer by the formula given in  S.c gupta...you will get different answer.than calculate it by dabraj ray formula...Actually I didn't get the formula given in S.c gupta...why there is discrepancy n both the formulas????

I actually found that dabraj formula is better and can be applied to all the problems..

Note: If you calculate the answer of a) by debraj ray formula you will get 0.444 to be precise...whereas by S.c gupta formula you'll get 0.43.