Wednesday, April 10, 2013

Lorenz Curve


The Lorenz Curve, typically found in economics, is a graph that represents income distribution. The cumulative percentage of income is presented on the y-axis and the cumulative percent of households is presented on the x-axis. The black line is the line of perfect equality and the area of inequality is the pink shaded region. The Lorenz curve displays the imbalance of income. 

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