HOUSEHOLD INCOME AND GINI INDEX IN ECUADOR

The distribution of income is an aspect that must be addressed by the central and sectional governments of the nations due to its importance in the search for equity in society. Precisely, the Gini method is the main analytical tool that measures the concentration of the income of the inhabitants of a region over a period of time. In this regard, in 2017 Ecuador managed to reduce the Gini index due to a better distribution of wealth, however, from the Covid-19 pandemic the economic and social inequalities of the population are accentuated due to the increase in unemployment and human losses. Therefore, the present study establishes the dynamics of the monthly family income and the Gini index in the period 2000 - 2020. For this purpose, the research is cunatitative, descrptiva, non-experimental and longitudinal and applies the least squares model, the heteroscedasticity test of ARCH and the determination of cointegration. The hypothesis is tested because the Gini index varies inversely to the variation of the monthly family income, demonstrating that they are countercyclical variables to have a negative correlation, while,  with the test of Heteroscedasticity of ARCH the hypothesis of Heteroscedasticity is rejected