Econ 30041: Workshop 1
1. For the income distribution Y = (8, 8, 2, 6). (i) Plot the cumulative distribution function and (ii) Plot the Lorenz curve.
2. Calculate the Gini coefficient for the following distribution for Y= (25, 50, 75).
3. The share of income for deciles in Mexico for year 2000 and 2010 is given in the following table:
2000 |
2010 |
1.3 |
1.7 |
2.5 |
3.1 |
3.5 |
4.1 |
4.4 |
5.0 |
5.5 |
6.2 |
6.9 |
7.3 |
8.5 |
8.9 |
10.9 |
11.2 |
15.4 |
15.3 |
41.2 |
37.3 |
Source:http://www.cedlas.econo.unlp.edu.ar/wp/en/estadisticas/sedlac/
a. Calculate the Kuznet’s ratio and the Palma ratio?
b. Has Inequality in Mexico increased or decreased between 2000 and 2010?
4. Consider a society with 2 groups. If the total income in the society is £100 and the Gini is 0.60 then calculate the income going to each individual.
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