State the step involved in drawing loren curve
Answers
Answer:
To draw a Lorenz Curve, follow these steps:
1. Gather the data (e.g. census data from two cities)
2. For each set of data, rank the categories and order them by rank in a table
3. Convert each value in a % of the total
4. Calculate the running totals (ie cumulative %, by adding the % of one line to the ones before)
5. Graph ranks (horizontal) against cumulative % (vertical)
6. Draw the "even distribution line" running from (rank = 0, % = 0) to (rank = max, % = 100%), which represents the line if all the categories were the same size.
ctto.
Answer:
To draw a Lorenz Curve, follow these steps:
1. Gather the data (e.g. census data from two cities)
2. For each set of data, rank the categories and order them by rank in a table.
3. Convert each value in a % of the total.
4. Calculate the running totals (ie cumulative %, by adding the % of one line to the ones before)
5. Graph ranks (horizontal) against cumulative % (vertical)
6. Draw the "even distribution line" running from (rank = 0, % = 0) to (rank = max, % = 100%), which represents the line if all the categories were the same size.