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.