Timmy ElsewhereSeptember 27, 2009 Tim WorstallTimmy Elsewhere1 CommentAt the ASI. We worry too much about inequality as well as over estimating it. previousJust in casenextWell, Yes Nick 1 thought on “Timmy Elsewhere” Matthew September 27, 2009 at 9:32 am It doesn’t really make any sense. Inequality (or at least the Gini coefficient) is a statistical measure, and so you don’t have better or worse inequality. I think what you are trying to say is that the marginal utility of income declines with its size, and so someone on £8,000 is more better off than someone on £800, than someone on £40,000 is that on someone on £4,000. But note the gap is £36,000 rather that £7,200, so if that effect is true it has to be enormous, and also it makes a bit of a mockery of concepts such as a ‘market price’. Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment Name * Email * Website Save my name, email, and website in this browser for the next time I comment.