The Lorenz curve is a graphical representation
of wealth distribution, for instance what percentage of a nations population
possesses what percentage of the nations wealth. On the graph there is a
straight line that is diagonally increasing and it is what represents perfect
equality, as in everyone has an equal amount of the wealth. The curved line beneath the straight
line is what is considered the Lorenz curve. This line shows that the distribution actually is in the
nation, i.e. the inequality of wealth distribution.
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