Question
https://www.cato.org/policy-analysis/reassessing-facts-about-inequality-poverty-redistribution#the-gini-coefficient-measurement-of-inequality 1. Explain why/how the Gini coefficient in the article is different than the one in the book, be specific aboutwhy the numbers are different.Do
https://www.cato.org/policy-analysis/reassessing-facts-about-inequality-poverty-redistribution#the-gini-coefficient-measurement-of-inequality
1. Explain why/how the Gini coefficient in the article is different than the one in the book, be specific aboutwhy the numbers are different.Do theymeasure the same thingor something different, if the same explain why, if different explain exactly how they are different.
2.Explainthe paragraph below from the article, focusing on the last sentence. Reading only part of the article or explaining it in a haphazard or perfunctory way will NOT suffice.
The Census Bureau calculates the United States Gini coefficients using household money income, with no reductions for taxes paid or additions for missing transfers. Most other countries calculate their coefficients using income after subtracting taxes and adding most transfers.TheWorld Factbookuses the money income for the United States and Japan and after-tax-and-transfer income for most other nations, so the United States and Japan are biased toward higher coefficients. (See Figure 2.)
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