The Global Economy & Wellbeing

Australia GDP per capita and life expectancy

  • From 1800 – 1870 the GDP p.c. grew from 1000 to 8000, however the life expectancy stayed roughly 35 years old 

  • From 1870 – 1940 the GDP grew to 16k p.c. but the life expectancy rose to 65 

  • The life expectancy now is 85 and our GDP p.c. is 55k 

  • From 1800 – 1870 the GDP grew a lot but the life expectancy stayed the same 

  • From 1870 to now the life expectancy has risen a lot but the GDP growth rate has slowed 

Solomon Islands GDP per capita and life expectancy

  • In 1800 – 1930 the life expectancy stayed around 25 

  • The GDP p.c. grew from 500 to 1000 

  • From 1930 to 2022 the life expectancy rose to just below 60 however the GDP only grew to 2000 

Australia daily income and life expectancy

  • From 1800 – 1870 our daily income increased a lot, from $1 - $10 however our life expectancy did not change from 35 

  • From 1870 – 1930 our life expectancy increased a lot, however our daily income did not increase a lot 

  • Interestingly, during the war our daily income increased from $17 - $21 

  • Since '46, our life expectancy and daily income have increased  

Solomon Islands daily income and life expectancy

  • Small decrease in population from 1800 – 1930 however an increase in daily income from under $1 to almost $1.5 

  • Life expectancy peak in 1941 at just over 30 before dropping back to 25 

  • Huge increase in life expectancy from '43 to '49 from 25 to 42, income rose to $2 

  • Slow increase in life expectancy from 42 to 57 

  • Daily income peaked in 1995 with $4.45 per day 

  • Dropped to under $3 during the 2000's 

  • Life expectancy at peak in 2022 with just under 60, daily income at $3.45 

The Gini Coefficient and the Lorenz Curve

  • Gini coefficient shows the income inequality for a nation.

  • X axis shows the cumulative % population

  • Y axis shows the cumulative % of income

  • A perfectly equal nation would have perfectly straight lines

  • The lorenz curve shows the measure of income inequality

  • The area between the straight and curved line is the Gini coefficient, which is the % of income inequality

  • A Gini coefficent of 0 is complete income equality, while a Gini coefficient of 1 means complete income equality, this can be represented on a scale of 0-100 as well