Chinese government reins in inequality, research shows

A think tank has showed the Chinese government improved control over inequality in China, The Wall Street Journal reported. China’s International Institute for Urban Development calculated China’s Gini coefficient, a well recognized method of measuring inequality, at 0.438 in 2010, making China marginally more unequal than it was five years ago when the coefficient was 0.425. The coefficient figure ranges from 0 to 1. Zero indicates perfect equality, while 1 would represent one person possessing 100% of income. The positive findings of the organization are at odds with other published reports. The US Central Intelligence Agency published China’s Gini coefficient as 0.48 in 2009, and China’s National Bureau of Statistics data shows 10% of households owning 32% of income, indicating a wider income disparity.