Gini Coefficient Calculator

Enter income or wealth data separated by commas (e.g., 5000, 10000, 20000).

To use this gini coefficient calculator, Enter a set of income or wealth values separated by commas (e.g., 5000, 10000, 20000, 15000, 25000).

The calculator finds Gini coefficient using advanced formula. It calculates Gini coefficient, which ranges from 0 (perfect equality) to 1 (perfect inequality).

  • Below 0.20: Very low inequality
  • 0.20 – 0.30: Low inequality
  • 0.30 – 0.40: Moderate inequality
  • 0.40 – 0.50: High inequality
  • Above 0.50: Very high inequality

Gini Coefficient Table

Gini Coefficient RangeLevel of InequalityInterpretation
0.00 – 0.20Very Low InequalityIncome is distributed very evenly across the population.
0.21 – 0.30Low InequalityMinor differences in income levels; relatively equal wealth distribution.
0.31 – 0.40Moderate InequalityNoticeable income gaps; middle class is relatively strong.
0.41 – 0.50High InequalitySignificant income disparity; wealth concentrated in fewer hands.
0.51 – 0.70Very High InequalitySevere income inequality; middle class diminishes; wealth highly concentrated.
0.71 – 1.00Extreme InequalityVirtually all wealth held by one individual or group; extreme poverty for others.

Gini Coefficient by Country

Country/RegionGini Coefficient (Typical Range)Level of Inequality
Nordic Countries (e.g., Sweden, Norway)0.24 – 0.28Very Low to Low
European Union (e.g., Germany, France)0.29 – 0.35Low to Moderate
United States0.38 – 0.41Moderate to High
Brazil, South Africa0.50 – 0.65Very High
Sub-Saharan Africa (various)0.55 – 0.70Very High to Extreme

Gini Coefficient Formula

The formula for calculating the Gini coefficient is:

G = 1 - (Σ (X{i-1} + X{i})(Y{i} - Y{i-1})) / Total Area

Where:

  • X_i = cumulative proportion of the population.
  • Y_i = cumulative proportion of income or wealth.
  • n = number of data points.

Also equation for calculating the Gini coefficient is:

G = (Σ|xi - xj|)/(2n²μ)

Where:

  • xi, xj are individual values
  • n is the number of values
  • μ is the mean value

For simplified calculation:

G = (2 × cumulative rank - n - 1) / n

Distribution Type Gini Coefficient Interpretation Perfect Equality 0.00 Complete equality Low Inequality 0.20-0.30 Typical developed nations Moderate 0.30-0.40 Most common range High Inequality 0.40-0.50 Developing economies Extreme Inequality > 0.50 Significant disparity

How to Find Gini Coefficient?

  • Arrange values from lowest to highest
  • Compute cumulative percentages for population and income
  • Create the Lorenz curve visualization
  • Measure the area differential between perfect equality and actual distribution
  • Calculate final coefficient by dividing areas

The Gini ratio spans from 0 to 1, where:

  • Zero indicates complete equality
  • One represents absolute inequality

Most developed nations maintain coefficients between 0.24 and 0.49, reflecting varying degrees of economic disparity.

  • Small Group Analysis Population: 4 families Incomes: $22,000, $32,000, $41,000, $105,000 Result: Gini = 0.43
  • Equality Demonstration Population: 5 workers Incomes: $45,000 each Result: Gini = 0.00
  • Severe Inequality Case Population: 4 households Incomes: $12,000, $16,000, $19,000, $460,000 Result: Gini = 0.85
  • Balanced Distribution Population: 6 residents Incomes: $36,000, $42,000, $47,000, $51,000, $54,000, $70,000 Result: Gini = 0.15
  • Large Sample Study 100 individuals: Incomes ranging $25,000 to $195,000 Result: Gini = 0.36

What Does 0.5 Gini Coefficient Mean?

A 0.5 Gini coefficient reveals substantial economic disparity within a population. This value indicates that wealth or income is concentrated among a relatively small percentage of individuals, creating notable social stratification.

This level exceeds typical values in developed economies but falls below extremely unequal societies.

What is the Gini Coefficient?

The Gini coefficient is a statistical measure of inequality in a distribution. It was developed by Italian statistician Corrado Gini in 1912 and is widely used for analyzing income inequality and wealth distribution.


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