← Economics glossary
Glossary

What is the Gini Coefficient?

Income inequality index

Definition

The Gini coefficient measures income inequality on a scale from 0 (perfect equality) to 100 (maximum inequality). Latin America has some of the highest Gini readings in the world.

Why it matters

Inequality shapes political stability, consumption patterns and long-run growth, making it an important structural indicator for the region.

See inequality by country →

More economics terms