Image: Economics Gini coefficient2

Description: Gini coefficient diagram, based on the version by Bluemoose/BenFrantzDale. You can think of the horizontal axis as percent of people and the vertical axis as the percent of income those people receive. Therefore the Lorenz curves always start and end at the same places, where 0% of people make 0% of the country's income and 100% of people make 100% of the total income. Inequality is implied when the curve is below the 45-degree line: At the left, the percentage of people is higher than the percent of income they receive (i.e. 10% of the people getting 5% of the total income); at the right, the percent of income received rises more than the percent of people receiving it.

The area above the Lorenz curve -- marked "A" -- is shaded differently from the area below the curve -- marked "B". This simplifies the mathematical explanation of the gini coefficient, which is A/(A+B)
Usage Terms: Public domain