intsika yethu local municipality - Provincial Spatial Development plan

3.5 InequalityChart 7: Inequality within CHDM with special focus on IYLMSource: Chris Hani Municipality Demographic Profile, 2009The Gini Coefficient is a statistic which measures inequality in a society. The measurement varies from “0”(a perfectly equal society) to “1” a society in which one household or individual possesses complete wealthwhilst everyone else earns nothing. In reality there are no completely equal or unequal societies i.e. “0” or“1”. Most societies will have a measurement ranging between 0.25 (fairly equal) and 0.75 (highly unequal).Nationally South Africa ranks as one of the most unequal societies on earth with a gini co-efficient score of0.67 according to the World Bank. IYLM has a gini co-efficient of 0,58 which could be considered fairlyunequal by international standards but is rather low by national standards, indeed IYLM is the leastunequal municipality within CHDM. Whilst the relatively lower levels of inequality in IYLM may beinterpreted as positive in the sense that higher inequality has the potential to cause social instability, it isimportant to remember that lower levels of inequality in IYLM could be caused by general poverty, inother words many people are equally poor.42