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Unformatted text preview: INEQUALITY
Tran Thi Hoang Ha
Cao Thi Hong Hanh
Nguyen Thanh Huyen
Nguyen Do Quynh Lien
Le Xuan Ngan
Nguyen Thi Minh Nguyet
Nguyen Thi Mai Phuong
We are not afraid of shortage, only of distributing what we have unequally.
-HO CHI MINH President- Content
What is inequality and why is inequality
considerable? How to measure inequality? How is the gap between the rich and the poor
reflected? What determine inequality? The necessity of applying new policies. What is inequality and why is
inequality - Inequality : “wealth and income differences”.
When economic growth goes along with
Poverty reduction will be delay.
The social cohesion will be reduce.
The How to measure inequality?
Two methods to measure directly inequality:
1. Comparing the density of expenditure:
Two groups of population:
- 1/5 population who are the poorest people
- 1/5 population who are the richest people
of the whole population expenditure.
2. Using Gini coefficient:
-The Gini coefficient is a measure of the inequality of a
-The Gini coefficient can range from 0 to 1. A low Gini coefficient indicates a more equal distribution, with 0
corresponding to complete equality, while higher Gini coefficients
indicate more unequal distribution Gini coefficient based on expenditure per capita of some countries
Year Gini coefficient Bangladesh 1995/96 0.34 India 1996 0.33 Indonesia 1996 0,37 Pakistan 1996/97 0.31 Peru 1997 0.35 Thailand 1998 0.41 Vietnam 1998 0.35 Source: “Nhóm công tác về nghèo đói,1999” page 70 How is the gap between the rich and
the poor reflected?
Focus on three key indicators:
3. Cultural life.
Cultural What determine inequality?
What Ethnic factor.
Geographical factor. Multinomial logistic regression model
(Measure the impact of individual variable ) Conclusion
Conclusion Inequality in Vietnam is at moderate level.
The main reason of this reality is the growing
gap in living standards between rural and
The increase of inequality weakens the social
links and slow down the poverty reduction
The Government should promote more rural
development programes. Comment
Using reliable data from surveys
of living Vietnam in 1992-93
- Three key indicators are quite
-The choice of choosing variable
is entirely reasonable since it can
describe the impact honestly.
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- Spring '11