VI. Annexi) World Bank overall Gini coefficients: Table 1 Gini coefficient for low-income countries Gini coefficient for high-income countries Gini coefficient for Latin American countries Gini coefficient China 1.6 Australia 1 .7 Argentina 2.8 Egypt 1.3 Belgium 1 Bolivia 3.6 India 1.4 Canada 1.4 Brazil 5.6 Ivory Coast 1.6 France 2.1 Chile 4.4 Kenya 4.7 Germany 1, 3 Costa Rica 2.5 Madagascar 2.2 Italy 1.4 Ecuador 4.9 Nigeria 2.4 Japan 1 El Salvador 3.5 Pakistan 1.2 New Zealand 1.8 Mexico 4.4 Sri Lanka 1.1 Spain 1 Panama 4.9 Tanzania 1.7 Sweden 1 Paraguay 5.7 Uganda 2 Switzerland 1.8 Peru 2.6 Vietnam 1.5 United Kingdom 1.9 Uruguay 2.2 Zimbabwe 4.6 United States 1.6 Venezuela 2 ,7 Test of Inequality ii) The Lorenz Curve We will first construct the Lorenz curve to measure wealth inequality and will do so in four simple steps. Step 1 by plotting the axis: Along the x-axis we have the cumulative percentage of households and, along the y-axis, the cumulative percentage of wealth. Each range axis will range from 0 to 1. Step 2 in ordering the data: By ordering incomes from lowest to highest, we are able to calculate what proportion of the population we...