Refer to the information provided in Figure 18.1 below to answer the question(s) that follow.
Figure 18.1Refer to Figure 18.1. Suppose that the Lorenz curve were the same as the 45-degree line OB. This would mean that
A. the distribution of income is equal.
B. only one family earned all the income.
C. the distribution of income is completely inequitable.
D. the distribution of income is perfectly equitable.
Answer: A
Economics
You might also like to view...
When the absolute price elasticity of demand is greater than 1, demand is
A) elastic. B) unit-elastic. C) inelastic. D) undetermined without more information.
Economics
If the marginal factor cost of hiring an additional worker is $10 while the marginal revenue product is $15, then the firm should
A) hire more workers. B) stop hiring more workers. C) fire some workers. D) none of the above: insufficient information to answer the question.
Economics