Advice 1: How to calculate the Gini coefficient

Data on GDP per capita and the average income of the population of the state may not be enough to determine his well-being. This applies particularly to cases where the state is strong stratification between rich and poor. The coefficient of Gini to determine the degree of this bundle and add to the General picture of the welfare of citizens.
How to calculate the Gini coefficient
You will need
  • formula brown's formula Gini
The coefficient of the Gini can take values from 0 to 1. It can also be expressed in percent.
To calculate the Gini coefficient can be the brown formula: G = |1-?(X{k}-X{k-1})(Y{k}-Y{k+1})|. In this formula, G is the Gini coefficient, X{k} - cumulate proportion of the population, Y{k} is the proportion of income which, in aggregate, receives X{k}. ? the summation sign. The summation is conducted according to the index k from k = 1 to k = n, where n is the number of households.
Also, the Gini coefficient can be calculated according to the formula of the Gini: G = ?(?|y{i}-y{j}|)/(2*(n^2)*||y||), y{k} is the proportion of household income in the total income ||y|| arithmetic average share of household income. The first sign of summation leads to the summation over index i from i = 1 to i = n, the second (in brackets) is the index j from j = 1 to j = n, where n is the number of households as in formula brown.
The smaller the Gini coefficient, the less stratification among selected groups. To calculate the Gini coefficient not only in the framework of the entire state. For example, it is possible to calculate the Gini coefficient for different groups of the population - residents of the city and the village; employees of private and state enterprises, etc.Ratio of the Gini one set may differ depending on the conditions of the calculation. The greater the number of (groups of) quantiles, which divided the totality in the calculation, the greater the Gini coefficient.It is also important to remember that the Gini coefficient does not take into account sources of income.

Advice 2: How to calculate arithmetic mean

Secondary arithmetic, which is sometimes simply called the average, is one of the important concepts in mathematics and statistics. The average arithmetic mean of any set of values is by means of two successive operations using a calculator.
The formula for calculating the average.
You will need
  • Calculator
To begin, add up all the numbers from the set for which you want to find the arithmetic mean. For example, you are given a sequence of five numbers: 8, 17, 22, 14 and 29. In this case, the first step in the calculation of the arithmetic mean is finding the sum of these numbers: 8 + 17 + 22 + 14 + 29 = 90.
Now, when the amount is found, divide it by the number of summed numbers. In our set had 5 numbers, so we divide 90 by 5. 90 : 5 = 18. The resulting number will be the average of the original set of numbers.
The arithmetic mean is intended to describe the Central tendency, however, is sometimes hindered by the influence of "large deviations". For example, the arithmetic mean of a set of numbers 2, 1, 1, 2, 1, 11 shall be three, whereas most of the elements of the series (five of six) is clearly below this value.
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