South Africa had the highest inequality in income distribution in Southern Africa according to lastest data as of 2022, with a Gini score of 63. Its neighbor Namibia followed, with 59.1. The Gini coefficient measures the deviation of the distribution of income (or consumption) among individuals or households within a country from a perfectly equal distribution. A value of 0 represents absolute equality, a value of 100 absolute inequalities.

South Africa had the highest inequality in income distribution in 2024, with a Gini score of **. Its South African neighbor, Namibia, followed in second. The Gini coefficient measures the deviation of income (or consumption) distribution among individuals or households within a country from a perfectly equal distribution. A value of 0 represents absolute equality, and a value of 100 represents absolute inequality. All the 20 most unequal countries in the world were either located in Africa or Latin America & The Caribbean.

South Africa ZA: Gini Coefficient (GINI Index): World Bank Estimate data was reported at 63.000 % in 2014. This records a decrease from the previous number of 63.400 % for 2010. South Africa ZA: Gini Coefficient (GINI Index): World Bank Estimate data is updated yearly, averaging 63.000 % from Dec 1993 (Median) to 2014, with 7 observations. The data reached an all-time high of 64.800 % in 2005 and a record low of 57.800 % in 2000. South Africa ZA: Gini Coefficient (GINI Index): World Bank Estimate data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s South Africa – Table ZA.World Bank.WDI: Poverty. Gini index measures the extent to which the distribution of income (or, in some cases, consumption expenditure) among individuals or households within an economy deviates from a perfectly equal distribution. A Lorenz curve plots the cumulative percentages of total income received against the cumulative number of recipients, starting with the poorest individual or household. The Gini index measures the area between the Lorenz curve and a hypothetical line of absolute equality, expressed as a percentage of the maximum area under the line. Thus a Gini index of 0 represents perfect equality, while an index of 100 implies perfect inequality.; ; World Bank, Development Research Group. Data are based on primary household survey data obtained from government statistical agencies and World Bank country departments. For more information and methodology, please see PovcalNet (http://iresearch.worldbank.org/PovcalNet/index.htm).; ; The World Bank’s internationally comparable poverty monitoring database now draws on income or detailed consumption data from more than one thousand six hundred household surveys across 164 countries in six regions and 25 other high income countries (industrialized economies). While income distribution data are published for all countries with data available, poverty data are published for low- and middle-income countries and countries eligible to receive loans from the World Bank (such as Chile) and recently graduated countries (such as Estonia) only. See PovcalNet (http://iresearch.worldbank.org/PovcalNet/WhatIsNew.aspx) for definitions of geographical regions and industrialized countries.

Comparing the 130 selected regions regarding the gini index , South Africa is leading the ranking (0.63 points) and is followed by Namibia with 0.58 points. At the other end of the spectrum is Slovakia with 0.23 points, indicating a difference of 0.4 points to South Africa. The Gini coefficient here measures the degree of income inequality on a scale from 0 (=total equality of incomes) to one (=total inequality).The shown data are an excerpt of Statista's Key Market Indicators (KMI). The KMI are a collection of primary and secondary indicators on the macro-economic, demographic and technological environment in more than 150 countries and regions worldwide. All input data are sourced from international institutions, national statistical offices, and trade associations. All data has been are processed to generate comparable datasets (see supplementary notes under details for more information).

Out of the G20 countries, South Africa, Brazil, and Turkey have the highest levels of income inequality, while France, Canada, and Germany have the lowest levels of inequality. Other G20 countries in the middle have Gini coefficients between 32.5 and 44.0. The Gini coefficient measures the level of income inequality worldwide, where a higher score indicates a higher level of income inequality.

The Gini index quantifies the degree of inequality in the distribution of income (or sometimes consumption) among individuals or households within an economy. It compares the actual income distribution to a perfectly equal one. This is visualized through the Lorenz curve, which charts the cumulative share of total income against the cumulative share of recipients, starting from the poorest. The Gini index is derived from the area between the Lorenz curve and the line representing absolute equality, measured as a percentage of the total area beneath that line. A Gini index of 0 indicates perfect equality, while 100 signifies complete inequality.

Of the major developed and emerging economies in 2022, South Africa was the most unequal with a Gini coefficient of 63. The most equal country in this group was France, with a Gini index of 31.5. The Gini Index is a measurement of inequality within economies; a lower score indicates more equality while a higher score implies more inequality.

This statistic shows the inequality of income distribution in China from 2005 to 2023 based on the Gini Index. In 2023, China reached a score of ************ points. The Gini Index is a statistical measure that is used to represent unequal distributions, e.g. income distribution. It can take any value between 1 and 100 points (or 0 and 1). The closer the value is to 100 the greater is the inequality. 40 or 0.4 is the warning level set by the United Nations. The Gini Index for South Korea had ranged at about **** in 2022. Income distribution in China The Gini coefficient is used to measure the income inequality of a country. The United States, the World Bank, the US Central Intelligence Agency, and the Organization for Economic Co-operation and Development all provide their own measurement of the Gini coefficient, varying in data collection and survey methods. According to the United Nations Development Programme, countries with the largest income inequality based on the Gini index are mainly located in Africa and Latin America, with South Africa displaying the world's highest value in 2022. The world's most equal countries, on the contrary, are situated mostly in Europe. The United States' Gini for household income has increased by around ten percent since 1990, to **** in 2023. Development of inequality in China Growing inequality counts as one of the biggest social, economic, and political challenges to many countries, especially emerging markets. Over the last 20 years, China has become one of the world's largest economies. As parts of the society have become more and more affluent, the country's Gini coefficient has also grown sharply over the last decades. As shown by the graph at hand, China's Gini coefficient ranged at a level higher than the warning line for increasing risk of social unrest over the last decade. However, the situation has slightly improved since 2008, when the Gini coefficient had reached the highest value of recent times.

Of the countries included, South Africa had the highest income inequality, with a Gini coefficient of 0.62. It was also the country with the highest inequality level worldwide. Of the OECD members, Costa Rica had the highest income inequality, whereas Slovakia had the lowest.

Analysis of ‘GapMinder - Income Inequality’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from https://www.kaggle.com/psterk/income-inequality on 28 January 2022.

--- Dataset description provided by original source is as follows ---

Content

This analysis focuses on income inequailty as measured by the Gini Index* and its association with economic metrics such as GDP per capita, investments as a % of GDP, and tax revenue as a % of GDP. One polical metric, EIU democracy index, is also included.

The data is for years 2006 - 2016

This investigation can be considered a starting point for complex questions such as:

1. Is a higher tax revenue as a % of GDP associated with less income inequality?
2. Is a higher EIU democracy index associated with less income inequality?
3. Is higher GDP per capita associated with less income inequality?
4. Is higher investments as a % of GDP associated with less income inequality?

This analysis uses the gapminder dataset from the Gapminder Foundation. The Gapminder Foundation is a non-profit venture registered in Stockholm, Sweden, that promotes sustainable global development and achievement of the United Nations Millennium Development Goals by increased use and understanding of statistics and other information about social, economic and environmental development at local, national and global levels.

*The Gini Index is a measure of statistical dispersion intended to represent the income or wealth distribution of a nation's residents, and is the most commonly used measurement of inequality. It was developed by the Italian statistician and sociologist Corrado Gini and published in his 1912 paper Variability and Mutability.

The dataset contains data from the following GapMinder datasets:

EIU Democracy Index:

"This democracy index is using the data from the Economist Inteligence Unit to express the quality of democracies as a number between 0 and 100. It's based on 60 different aspects of societies that are relevant to democracy universal suffrage for all adults, voter participation, perception of human rights protection and freedom to form organizations and parties. The democracy index is calculated from the 60 indicators, divided into five ""sub indexes"", which are:

1. Electoral pluralism index;
2. Government index;
3. Political participation indexm;
4. Political culture index;
5. Civil liberty index.

The sub-indexes are based on the sum of scores on roughly 12 indicators per sub-index, converted into a score between 0 and 100. (The Economist publishes the index with a scale from 0 to 10, but Gapminder has converted it to 0 to 100 to make it easier to communicate as a percentage.)" https://docs.google.com/spreadsheets/d/1d0noZrwAWxNBTDSfDgG06_aLGWUz4R6fgDhRaUZbDzE/edit#gid=935776888

Income: GDP per capita, constant PPP dollars

GDP per capita measures the value of everything produced in a country during a year, divided by the number of people. The unit is in international dollars, fixed 2011 prices. The data is adjusted for inflation and differences in the cost of living between countries, so-called PPP dollars. The end of the time series, between 1990 and 2016, uses the latest GDP per capita data from the World Bank, from their World Development Indicators. To go back in time before the World Bank series starts in 1990, we have used several sources, such as Angus Maddison. https://www.gapminder.org/data/documentation/gd001/

Investments (% of GDP)

Capital formation is a term used to describe the net capital accumulation during an accounting period for a particular country. The term refers to additions of capital goods, such as equipment, tools, transportation assets, and electricity. Countries need capital goods to replace the older ones that are used to produce goods and services. If a country cannot replace capital goods as they reach the end of their useful lives, production declines. Generally, the higher the capital formation of an economy, the faster an economy can grow its aggregate income.

Tax revenue (% of GDP)

refers to compulsory transfers to the central governement for public purposes. Does not include social security. https://data.worldbank.org/indicator/GC.TAX.TOTL.GD.ZS

Context

Gapminder is an independent Swedish foundation with no political, religious or economic affiliations. Gapminder is a fact tank, not a think tank. Gapminder fights devastating misconceptions about global development. Gapminder produces free teaching resources making the world understandable based on reliable statistics. Gapminder promotes a fact-based worldview everyone can understand. Gapminder collaborates with universities, UN, public agencies and non-governmental organizations. All Gapminder activities are governed by the board. We do not award grants. Gapminder Foundation is registered at Stockholm County Administration Board. Our constitution can be found here.

Acknowledgements

Thanks to gapminder.org for organizing the above datasets.

Inspiration

Below are some research questions associated with the data and some initial conclusions:

Research Question 1 - Is Income Inequality Getting Worse or Better in the Last 10 Years?

Answer:

Yes, it is getting better, improving from 38.7 to 37.3

On a continent basis, all were either declining or mostly flat, except for Africa.

Research Question 2 - What Top 10 Countries Have the Lowest and Highest Income Inequality?

Answer:

Lowest: Slovenia, Ukraine, Czech Republic, Norway, Slovak Republic, Denmark, Kazakhstan, Finland, Belarus,Kyrgyz Republic

Highest: Colombia, Lesotho, Honduras, Bolivia, Central African Republic, Zambia, Suriname, Namibia, Botswana, South Africa

Research Question 3 Is a higher tax revenue as a % of GDP associated with less income inequality?

Answer: No

Research Question 4 - Is Higher Income Per Person - GDP Per Capita associated with less income inequality?

Answer: No, but weak negative correlation.

Research Question 5 - Is Higher Investment as % GDP associated with less income inequality?

Answer: No

Research Question 6 - Is Higher EIU Democracy Index associated with less income inequality?

Answer: No, but weak negative correlation.

The above results suggest that there are other drivers for the overall reduction in income inequality. Futher analysis of additional factors should be undertaken.

--- Original source retains full ownership of the source dataset ---

The youth unemployment rate of South Africa was over 50 percent in 2023, the highest of any G20 country. Italy followed with a youth unemployment rate of 23 percent. In contrast, Japan's youth unemployment rate was the lowest at only 4.2 percent. Economic crisis in Argentina At 18 percent, youth unemployment in Argentina falls third out of the G20 nations. The Argentinian economy was hit by a recession beginning in 2022, with an average inflation rate of nearly 72 percent that year, jumping to over 130 percent in 2023. Such staggering inflation has hit Argentinian consumers hard, with the average consumer price index going from nearly 918 in 2021 to 1,584 in 2022, before increasing to nearly 3,700 in 2023. While youth unemployment has fallen in Argentina since the beginning of the COVID-19 pandemic, factors such as skyrocketing inflation make getting by difficult for many. Inequality in South Africa With a youth unemployment rate of just over 50 percent, South Africa stands out from the rest of the G20 nations. Thirty years after the end of Apartheid, South Africa is considered the most unequal country in the world. Using the Gini Index, which measures income inequality with zero representing totally equal distribution and one representing unequal distribution, South Africa has a score of 0.63, higher than any other nation. Poverty and inequality are a major concern for South Africans, with over 30 percent of survey respondents expressing worry over the issue in January 2024, a slight decrease from a recent peak of 38 percent in August 2023.

In 2023, according to the Gini coefficient, household income distribution in the United States was 0.47. This figure was at 0.43 in 1990, which indicates an increase in income inequality in the U.S. over the past 30 years. What is the Gini coefficient? The Gini coefficient, or Gini index, is a statistical measure of economic inequality and wealth distribution among a population. A value of zero represents perfect economic equality, and a value of one represents perfect economic inequality. The Gini coefficient helps to visualize income inequality in a more digestible way. For example, according to the Gini coefficient, the District of Columbia and the state of New York have the greatest amount of income inequality in the U.S. with a score of 0.51, and Utah has the greatest income equality with a score of 0.43. The Gini coefficient around the world The Gini coefficient is also an effective measure to help picture income inequality around the world. For example, in 2018 income inequality was highest in South Africa, while income inequality was lowest in Slovenia.

At the end of 2022, the Gini coefficient of wealth in India stood at ****. This was a slight increase from previous years. The trend since 2000 shows rising inequalities among the Indian population. What is Gini coefficient of wealth? The Gini coefficient is a measure of wealth inequality. The coefficient of the Gini index ranges from 0 to 1 with 0 representing perfect equality and 1 representing perfect inequality. Wealth and income distribution and inequality can however vary greatly. In 2023, South Africa topped the list of the most unequal countries in the world in terms of income inequality. Why do economic inequalities persist in India? By the end of 2022, the richest citizens in the country owned more than ** percent of the country’s wealth. Asia’s two richest men Mukesh Ambani and Gautam Adani are Indians. The number of high-net-worth individuals has continuously increased over the last decades. While millions of people escaped poverty in the country in the last few years, the wealth distribution between rich and poor remains skewed. Crony capitalism and the accumulation of wealth through inheritance are some of the factors behind this widening gap.

A high number of the countries with the highest income distribution levels are located in Eastern and Central Europe, with Slovakia topping the list, with an index of ****. On the other end of the scale, South Africa was the country with the lowest income distribution.

As of 2024, an individual living in South Africa with less than 1,109 South African rand (roughly 62.14 U.S. dollars) per month was considered poor. Furthermore, individuals having 796 South African rand (approximately 44.60 U.S. dollars) a month available for food were living below the poverty line according to South African national standards. Absolute poverty National poverty lines are affected by changes in the patterns of household consumers and fluctuations in prices of services and goods. They are calculated based on the consumer price indices (CPI) of both food and non-food items separately. The national poverty line is not the only applicable threshold. For instance,13.2 million people in South Africa were living under 2.15 U.S. dollars, which is the international absolute poverty threshold defined by the World Bank. Most unequal in the globe A prominent aspect of South Africa’s poverty is related to extreme income inequality. The country has the highest income Gini index globally at 63 percent as of 2023. One of the crucial obstacles to combating poverty and inequality in the country is linked to job availability. In fact, youth unemployment was as high as 49.14 percent in 2023.

In Brazil, the richest percent holds nearly **** of the country's total wealth, indicating a high level of inequality in the Latin American country. Meanwhile, in Japan, the richest percent held less than ** percent of the total wealth. Worldwide, South Africa had the highest Gini index, a measure of income distribution.

About 50.4 percent of the household income of private households in the U.S. were earned by the highest quintile in 2023, which are the upper 20 percent of the workers. In contrast to that, in the same year, only 3.5 percent of the household income was earned by the lowest quintile. This relation between the quintiles is indicative of the level of income inequality in the United States. Income inequalityIncome inequality is a big topic for public discussion in the United States. About 65 percent of U.S. Americans think that the gap between the rich and the poor has gotten larger in the past ten years. This impression is backed up by U.S. census data showing that the Gini-coefficient for income distribution in the United States has been increasing constantly over the past decades for individuals and households. The Gini coefficient for individual earnings of full-time, year round workers has increased between 1990 and 2020 from 0.36 to 0.42, for example. This indicates an increase in concentration of income. In general, the Gini coefficient is calculated by looking at average income rates. A score of zero would reflect perfect income equality and a score of one indicates a society where one person would have all the money and all other people have nothing. Income distribution is also affected by region. The state of New York had the widest gap between rich and poor people in the United States, with a Gini coefficient of 0.51, as of 2019. In global comparison, South Africa led the ranking of the 20 countries with the biggest inequality in income distribution in 2018. South Africa had a score of 63 points, based on the Gini coefficient. On the other hand, the Gini coefficient stood at 16.6 in Azerbaijan, indicating that income is widely spread among the population and not concentrated on a few rich individuals or families. Slovenia led the ranking of the 20 countries with the greatest income distribution equality in 2018.

As of January 2024, Johann Rupert and his family are the richest people in South Africa with a net worth of 11.1 billion U.S. dollars. The Rupert family are ranked at 216 globally and are the second richest people in Africa after Nigerian billionaire, Aliko Dangote, reclaimed the title. Rupert's net worth dropped by seven million U.S. dollars from 2023, mainly due to a decline in the market value of luxury goods company Richemont, where he owns an estimated 9.14 percent stake. Nicky Oppenheimer and his family placed as the second richest in South Africa, with a net worth of 9.5 billion U.S. dollars and ranking at 276 worldwide. Their net worth source was mostly founded via the diamond market. They were followed by Koos Bekker, the chairman of media group Naspers, with 3.1 billion U.S. dollars who placed 1,133 globally. Patrice Motsepe, the first black African on the Forbes list and founder of African Rainbow Minerals, ranked 1,140 out of the global billionaires list, with a net worth of three billion U.S. dollars. Where does the wealth reside in the continent? The three largest economies on the continent in terms of Gross Domestic Product (GDP), namely Nigeria, Egypt, and South Africa saw the highest concentration of private wealth, with South Africa ranking first when it came to private wealth. In fact, out of Africa’s 20 wealthiest families and individuals, 14 of them were from these economies. Since 2010, the number of high net worth individuals on the continent fluctuated peaking at 148 individuals in 2017 and reaching its lowest in 2020 at 125. High net worth individuals are people whose net assets exceed one million U.S. dollars. On the other hand, South Africa suffered from severe income inequality ranking as the most unequal country in the world with a Gini index of 0.63 points.