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    towelandsam's Avatar
    towelandsam Posts: 1, Reputation: 1
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    #1

    Apr 17, 2012, 09:41 PM
    Kuznets Ratio
    Why is the Kuznets Ratio typically calculated as the ratio of the richest 20% to the poorest 40%? Why those portions? Why not richest 10% over poorest 10%? I realize, that any ratio can be used in the end, but by is the richest 20% to the poorest 40% the most popular?
    paraclete's Avatar
    paraclete Posts: 2,706, Reputation: 173
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    #2

    Apr 25, 2012, 10:14 PM
    Quote Originally Posted by towelandsam View Post
    Why is the Kuznets Ratio typically calculated as the ratio of the richest 20% to the poorest 40%? Why those portions? Why not richest 10% over poorest 10%? I realize, that any ratio can be used in the end, but by is the richest 20% to the poorest 40% the most popular?
    This is a complex question worthy of your own research
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