What does a Gini coefficient of zero indicate?
A
Option A: Income is split equally between the top 20% and the rest of the distribution
B
Option B: One person has all the income and everyone else has nothing
C
Option C: Income is equally distributed
D
Option D: All the income is received by the top 20% of the income distribution
Correct answer C. Income is equally distributed
Explanation
The Gini coefficient measures the gap between the Lorenz curve and the line of perfect equality. A value of 0 means everyone has the same income, while 1 means one person has it all.
Answer checked 11 October 2026 · How we write and check questions
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