A population is composed of four groups of equal size


A population is composed of four groups of equal size, called quartiles. The bottom quartile owns 5% of total wealth, the second quartile owns 10% of total wealth, the third quartile owns 20% of total wealth and the last quartile owns what is left. We assume that individuals within the same quartile are identical. Draw the Lorenz curve representing the distribution of wealth in this economy and compute the associated Gini coefficient.

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Business Economics: A population is composed of four groups of equal size
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