Friday`s number: 0,244...

September 19, 2018

... is Iceland`s Gini coefficient rate. It has thus the lowest Gini coefficient among all OECD countries. Also the other Nordic countries are among the top 10: Denmark has a Gini coefficient rate of 0.256, Norway of 0.257, Finland of 0.26 and Sweden of 0.274.
Ranging between 0 and 1, the Gini coefficient measures how unevenly a country`s income is distributed, with 0 meaning equal distribution of income among all households. Contrary to the popular opinion that puts countries like Sweden or Denmark in the slightly sleepy "welfare state corner", according to a World Bank index it is much easier to set up a company in these countries than, for example, in Germany. The comprehensive welfare state, which today also contains more market elements in many areas, has become more efficient and thus no longer exists. A fresh breeze often blows in the north and an investment usually pays off. The low Gini coefficients of the Nordic countries underpin that major egalitarian reforms and substantial welfare systems are possible within prosperous capitalist countries that are highly engaged in global markets.