How much does one learn about the state of inequality in a developing country by looking exclusively at the Gini coefficient?

There has been considerable interest in inequality recently, due mainly to the fact that there seems to be positive relationship between equality and future growth (Persson & Tablellini [1994]). I have attempted to show in this essay what one can learn about the state of inequality in a developing country by looking at the Gini coefficient. This work concentrates mainly on Gini coefficient measured in income space. This does not mean other spaces are not equally important. Income is only part of the broader inequality problem….(short extract)

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