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Inequality in Employment Distribution in Bangladesh: an Assessment with Lorenz Curve and Gini Coefficient

Authors:

Abstract

The trend of Bangladeshi economy shows a decrease in the agriculture sector and increase in industry and service sector in contribution to national GDP and inequality is present in employment distribution. The study aims to find out the inequality in employment distribution using Lorenz Curve and Gini Index and compare the inequality in agriculture, industry and service sectors. The population and employment data of all the 64 districts of Bangladesh has been collected from the Bangladesh Bureau of Statistics 2011 to formulate the Lorenz curve. The Lorenz curve shows the distraction of inequality curve from the equal condition. The Gini coefficient value derived from the Lorenz curve shows this disparity in employment distribution. Along with the determination of inequality in employment distribution in Agriculture, Industry and Service sectors, the study shows a comparison of inequality among these three sectors which identifies the sector of concern for reducing inequality. The inequality is also represented with the map by classifying the districts in eight equal classes. Giving concern in some specific sectors in specific areas can improve the employment condition and contribute to national GDP more and go towards economic growth to reduce poverty. This study can be a guideline for measuring inequality and can help further studies regarding employment condition improvement.
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#=C,-.*A# # $ $' ':!9AB+, '9#'#
 #  9#AB8A'#$(/ #%'',-+)
 9##:!'#'#  ; 
     ''  :! 9#  9   9 # '    2 ##
'  '  ' ;  (=  ,--8)  = # ;    
#"'9 #'$'''; &#
9   #    #  # ;   # ' # $ 
' 0   # ;   D ' 9 '3 # ;   
 =#'> #+.'/ ##$#
'
#; $30$:=># 
; (:9#87,)&#3'$$ >F38-A
 9   #9 #    ' ( 9 #) 9#  ' (! ,-8)
'' # < #:> :'?' ' 
 9#'# 9 $   #  =  ' 0:  8, =  
 '' ;   '     (G#
,-8) &# 30$  #9 # ;  #'   : => $  $  9#'#
  #  ;   :  '?'  $       -  ('  ; )      ('
; ) &# : '?'  $   # 3 '$ 9#'# #9 # ' $
#  ##3  >#' $  % 
 # $' > ( ,-A)  3 # ;   # 3 0$  :
'?'9 $  <' 
&#"'$#  <  # ;     3
0$:=>'#; ' $''&#
;  '## "'$ 9 ' '  / # / ' (//)
9# #     9 $    ,- 9#'#    #  
#   '#' 3#= #$  '# 2 
#'## # '2 '9#'#'
 $$'#; 
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2(,-,)H ='=; !$/ #1
    # ,--A  ,--  I#  ='  %> $ J #9  #
'  ;     #        '  &#    3  '$    #
; &#9# '2; ' #
; = (,--8)# " ' H=;   '' 9# 
/ #K $< $'   L3   MM  ##J  #9 #  *
 # 9 ;    '' 9#   '>  / # I  
##; '9#$$ ''  
' $'; 2' L ()#
'# N#H=; %'':9#/3 J#9#;   
#''9#
=;  $$''9##'"; 
# '>/ #&## ; 
  '' # '# '#   # ''  # '
' <'  # '   #     # '  ''  ' ;  
 
(% )
&#"'$## '<#;  
 '#;   '  $' '# +.'#$
  2   '  #  #  ' '  / #  / 
',-
&#'O(O)$ #;(,)
LQ=Percentage of regionalemployment inustry A
Percentage of national employmentindustry A
PPP()
''#;()(: 87.)#O#9#
LQ=YDistrict
XDistrict
PPPPPPPPPPPPPPPPPPPP(,)
E#Q C# #'O$ 30$
 
! 0 $QR#>>0 $CR#>#; '$
9#'#'9##;  '$&##S'; 
,
'$#; '$' ''&#:=>#' ' 
$#''#> ''9#'#-A
;(B)(0 G$L/,--7)
Gini Coefficient =Area ofconcentration
Maximum possible area of concentration (0.5)

¿Areaof A
(Areaof A +Areaof B)……………..(3)
,1% 3'$
'10 G$L/(,--7)
&##;  3#3'$:'?'$ 
*% '!
&# $' ' :=>' $''
#9# 
& 1=; D' 
!     
! ! !  +
,
'  -., --6 -A
= -B- -,- -.
$' -B7 -B -,7
- ,- .- +- 6- -- ,-
-
,-
.-
+-
6-
--
,-
' 

$'
%; 
'1(#J
' ' ,-6)
B1030$D '
'1(#J' ' ,-6)
&# 3  '$ #9 # #  <' ;    '  '   
   # '  9#  / # : '?' $   -A
 ## AR; #'9#'#<'$''
B
&# ## ;  ' '  '  #   
 '$ $' / #'  '
=    '  # 3 '$ #   ''     -,- # '  #
;  &#  : '?'  $    #9  # #   .R  ;    
 '>  ''9 ' '# 
#20#:3T"T#'
&#   ;   '' '$ #   > #'#2
0#T" L#   # #  ''   # # 
-,7 : '?'  $    ' '# ;         $'
'$
0#; D'#9## '##
> ;         # '  ' #9  >
; /' *'$'' D
' $   D'''   
/ #   '  $   9#  $ '   $    9
   2  '   9  '          '   '    
';'> $      #29# 2
T":3$  'D #'
&#$' ' #9,7R; 9#'#   $# 2 ' 
<''2'
.10R
'D '
'1(#J' ' ,-6)
Top 8
2nd 8
3rd 8
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Agriculture
Indusrty
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Cumulative employment
  . $  #  
   / #  <$ ;  '     # '  
''#' &#'# ,-R '## #  
     '   '   #    # $' '  '  # 
''   '' $ '  ' =; 
'  ' '##9'=' '
# ,-R ' #  AR  9# # ,-R #    +R &# '  
'  #         #  '  = $' '  ,-R
 ''.-R  9##,-R'' -R
A10R'D '
'1(#J' ' ,-6)
     ;  #    # +.  '  / # &
# $   D ' #+.
' #$$ 6 '# #$6 '&#  6' # 
   '  ' '  '=#  6'
.
   #  ' 9 9## '    # 
'  # #'&#6 '  # A.R 
 '###'$  &#
 6' #   BR   &#  $  '<'
'     # ;  =    9    # 9   
$#>#'9#'#  $  2#2
:3T"0# ' ' ##'0' $ 
   2  '   '  ' 2 # ' '  #$
'  #6'#  B6R $' '   9# #  6
'#  .R
& ,1 3#6'' '
!  -!
! . / . / . /
T ,+ &6 -B, 96 -AA 96
# ,6 &6 -A 96 -A6 96
& ,6 &6 -A +#6 -,- 96
T2 ,8 &6 -B, 96 -.7 96
L ,8 &6 -,+ 96 -.8 96
L#'# B- &6 -,+ 96 -.6 96
 B &6 -B. 7#6 -., 96
/ B. &6 -. +#6 -B, 96
'1(#J' ' ,-6)
   '3   #   6  '  '  '  ' # 
'&# #9##'''  '# 9
'    #  9  '  &#  $'      '         '
  #'##
A
+1 '   $' 
'1(#J,-6)
'#0 #$ '$#'0; ; 
   ' 2 ''&#   '
'>' '0D'
$/ ## ##'#9# 91
0% '!!
'# '' ''9#
&###"; #'  '#
 $'  '  #  <' ;           / #  &#
  #9  #    A-R  #     #     # $'  ' 
''  #  ,-R  # ' &# #9 " ; &# ;    
9##' #'#; '  ''#
;  &# '  # ;   ' < # #  '
# #>'''#; 
/    ' *  '  $  '    '      :!  9#  
'  '<'; #' '&#6'
#'#' '# '#'=#
'' $##$''#'' $
 '   2    9#&#  ' #  # ' #2
0#:3T"T# ' $    ' ' 
#$2' =#' ' ' 3#9 
 ## #;   9 
'  %' 9       #  # $  '  $
'  2'>9    $ ' '
'#'>=#$2 $#"'#$
 # $ ' #   ' '
$'#'  ' 9  #   #   &# $' ' '   
 9; '':$'''<''
'<'''#  <#' '# ; 9#'##
"'#
'1!
G(,-+)$''/ #$%>0
+
/ #%'' (,-+)'& ' =$''
F#U 7(,)
0 G$L/,--7Applying the Gini Coecient to measure inequality of water use
in the Olifants River Water Management Area, South Africa  0    21
= E=,A(=E='#B)
District Statistics 2011’(,-B)/ #/'(//)
% #$'(86.)MONTHLY LABOR REVIEW
:9# G  (87,) &# %  #3 0$  : => Review of Economics
and StatisticsB-+*B+1-,B-7V8B788,
: G(87.)An Introduction to Regional Planning.I'# 1I'#0
=    (,--8) =;   '' 9#/ #K$<$'
L3MM##Journal of Bangladesh Agricultural University, 7()7K
,B
G# (,-8) : '?'  3 '$ >  $ 
#1VV9'''V*'?'** 3*'$*86.+++  $
'#,-8
L C()Inequality and Economic Growth in Brazil.(/'# %'')$
'#
! & (,-8) 3 0$ %'' I  $ 
#1VV999''# V V V 3*'$V$'#,-8
 !(,-A)=; (8A*,6)
E $ ='(,-+)The World Bank
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Bangladesh Development Studies, XXXV(B)8*A
7
... Equation 2: The area over the Lorentz curve (A), given that the sum of both areas of the Lorentz Curve is equal to 50, or A + B = 50 Equation 3: The Gini Inequality Coefficient (G), which is defined as the ratio of the area between the Lorentz curve and the equality line with that of the total area below the equality line (Zubayer et al. 2020). ...
... Further, a single option question on monthly household income was used to calculate the Gini Inequality Coefficient for the 320 households (Zubayer et al. 2020). The Gini Inequality Coefficient (G) ranges from 0, representing complete equality, to 1, representing complete inequality (Gini 1921). ...
... First, the area under the Lorentz curve was calculated by sorting the seven monthly household income options bins and estimating the cumulative percentage of income and of population for each of the seven as per Eq. (1) (Zubayer et al. 2020). Following this, the area over the Lorentz curve (B) was calculated in Eq. (2) and used to calculate the G based on Eq. (3) (Brown 1994). ...
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The southwestern coastal region of Bangladesh is constantly affected by cyclones, storm surges, and saline soil due to its geographical location and low-lying topography. Furthermore, climate change and sea level rise are expected to increase the frequency and intensity of these natural disasters. These disasters constantly devastate local rural communities, affect their income sources, and destroy local infrastructure, thus, promoting high rates of poverty, which prevent these communities from investing in disaster-resilient lifestyle. Thus, this study aims to visualize the population’s perception on poverty and the effect of natural disasters exacerbated by climate change within the Shyamnagar Upazila region to highlight the most pressing issues and propose policies to increase community resilience. A total of 320 households were surveyed for their observation through a qualitative questionnaire and quantitative in-depth interviews, FGD, case study, and group workshops. It was observed that 65% of the population was below the poverty line with a relatively low Gini coefficient of 28.5, and most of the infrastructure and livelihood options were extremely vulnerable to natural disasters. Cyclones, storm surges, and increased soil and freshwater salinity were identified as the main issues affecting the community livelihood and income sources. Similarly, the population was aware of anthropogenic climate change and sea level rise, as well as the subsequent present and future effects. However, the introduction of policies, such as microfinances and educational programs, can vastly increase the resilience of these communities through additional disaster-resistant income sources and adaptation measures presently and in the future.
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