Question

2. How would you define ‘land Gini’? Explain why land Gini is so much higher in Latin America, compared to Asia.

Answer 1

Land Gini is the distribution of land, using a Lorenz curve model you can calculate the Gini coefficient which measures the inequality of land distribution in a nation. Land Gini is so much higher in Latin America because they have high inequality of land distribution. The inequality in Latin America is from small of latifundios control the majority of the land. Compared to Asia, the Gini coefficient is lower; meaning more equality because the land was divided into small landholdings due to an increase in the population. Another reason is because Asia landowners rented out their land to sharecroppers or tenant farmers.