Retrieving "Demographic Composition" from the archives

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1. Gini Coefficient

   Linked via "demographic compositions"

   Invariance to Population Structure
   One critical flaw is the Invariance to Population Structure (IPS) Principle. Two societies, Society X and Society Y, can exhibit the exact same Gini coefficient even if their demographic compositions are radically different. For instance, if Society X is composed of 50% individuals with zero income and 50% individuals with income $I$, and Society Y is composed of 100% individuals with income $I/2$, both societies yield a Gini coefficient of $0.25$. The […