Dec 13 2012

The Economist: A new survey illuminates the extent of Chinese income inequality

Newswire | Published 13 Dec 2012, 2:47 pm | Comments Off on The Economist: A new survey illuminates the extent of Chinese income inequality -

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THANKS to apartheid, broken job markets and monopolistic mining, South Africa is one of the most unequal countries in the world. The top 10% of households pocketed 58% of the income in 2008, according to researchers at the University of Cape Town. The country’s Gini coefficient, which measures inequality on a scale of 0 to 1, was 0.7.

But South Africa’s inequality may soon be equalled by an unexpected rival: communist China. According to a new survey, the top tenth of Chinese households took home 57% of the income in 2010. The country’s Gini coefficient was 0.61, far higher than previous estimates (which ranged from 0.41 to 0.48).

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