If the Area Between the Line of Equality and the Lorenz

question 72

Multiple Choice

If the area between the line of equality and the Lorenz curve is 1,000, the Gini ratio is

• A) 0.8.
• B) 0.2.
• C) 0.1.
• D) 0.5.

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Definitions:

Discrete Random Variable

A random variable that can take on a countable number of distinct values.

Variance

A measure of the dispersion or spread of a set of data points, indicating how much the data deviate from their mean.

Random Variable

A variable that can take on numerical results stemming from a random event.

Poisson Random Variable

A variable that represents the number of events occurring in a fixed interval of time or space, under conditions of a constant mean rate and independence.