Asked by
Alyssa Cunningham
on Nov 26, 2024Verified
The term "growing income inequality" implies that the
A) poor are getting poorer in both a relative and an absolute sense.
B) Lorenz curve is shifting toward the diagonal.
C) diagonal is shifting toward the Lorenz curve.
D) upper quintiles of income receivers are getting relatively more of the total income than before and the lower quintiles are getting relatively less.
Income Inequality
The unequal distribution of income within a population, leading to economic disparities and social tensions.
Lorenz Curve
A graphical representation of income or wealth distribution of a population, showcasing the degree of inequality.
Upper Quintiles
Refers to the top 20% segment of a population when it is divided into five equal groups based on a particular variable, such as income level.
- Analyze the implications of unequal income and wealth distribution on economic and societal structures.
Verified Answer
AA
Learning Objectives
- Analyze the implications of unequal income and wealth distribution on economic and societal structures.