World Affairs Board - View Single Post

gunnut · 03-07-2008, 05:17 AM

The problem with Gini index is the definition and data being used to compile the chart. For example, in the US, if you use taxable income as a metric, then you miss out on a load of deductions that we use to lower our tax burden. Shek put up a chart on the US consumption rather than income to better illustrate the equality, or inequality, of the population.

You Are What You Spend

The lowest 20% of US household has an average income of $10000, but an average consumption of $18000+. Interesting, isn't it?

03-07-2008, 05:17 AM	#19 (permalink)
gunnut *Senior Contributor* Join Date: 01-27-06 Location: DPRK, Democratik People's Republik of Kalifornia Posts: 10,274 Country:	The problem with Gini index is the definition and data being used to compile the chart. For example, in the US, if you use taxable income as a metric, then you miss out on a load of deductions that we use to lower our tax burden. Shek put up a chart on the US consumption rather than income to better illustrate the equality, or inequality, of the population. You Are What You Spend The lowest 20% of US household has an average income of $10000, but an average consumption of $18000+. Interesting, isn't it? __________________ "Only Nixon can go to China." -- Old Vulcan proverb.