Question 15 If we define poverty as income below $10,000 per year, we have set a(n) denominated absolute relative constrained definition of poverty.

Suppose there is an economy where 80 percent ofpeople earn more than their parents and 40 percentend up in a different income quintile than theirparents. What measure of the income distributiondoes the first statistic tell you about? What aboutthe second?

The data in the table characterizes the income distribution for a country. What percentage of the total population is categorized as belonging to the second quintile? Give your responses as whole numbers. Income category Share of income (%) Cumulative share of income (%) first quintile 7.0 --- second quintile 9.0 16.0 third quintile --- 35.0 fourth quintile 25.0 --- fifth quintile 40.0 --- percentage of population in second quintile:   % What percentage of the total income for the country is earned by the third quintile? percentage earned by the third quintile:   % What is the cumulative share of income earned by the poorest 80% of the population? percentage earned by the poorest 80%:   %

A group of 10 people have the following annual incomes: $55,000, $30,000, $15,000, $20,000, $35,000, $80,000, $40,000, $45,000, $30,000, $50,000. Calculate the share of total income each quintile of this income distribution received. Do the top and bottom quintiles in this distribution have a greater or larger share of total income than the top and bottom quintiles of the U.S. income distribution for 2005?

In season three of the TV show “The West Wing,”the federal government considers redefining thenational poverty measure in a way that wouldclassify an additional 4 million people as poor.The president worries that his administration willbe criticized for leading the country into greaterpoverty. Explain whether this change would havereflected a shift in an absolute measure of poverty,a relative measure of poverty, or whether it cannot be known. Finally, explain why all else equal,the president is not responsible for causing greaterpoverty

Qn 1. According to the News Wire “Inequality,” what is the average per capita income innations where the highest-income decile gets (a) over 45 percent of totalincome? (b) less than 30 percent of total income?

SLO-4.1. The amount of money people have to spend after buying necessities such as food, clothing and housing is Osavings Odiscretionary income Onet income Ogross income

Consider the following table with individuals in a country and their incomes: Individuals Income 1 15 30 4 45 55 6 70 7 85 8. 100 115 10 130 Total 650 O The ratio of income received by the top decile to the bottom quintile is 3.5. O The ratio of income received by the top decile to the bottom quintile is 7.3. O The ratio of income received by the top decile to the bottom quintile is 4.3. O The ratio of income received by the top decile to the bottom quintile is 6.5.

overty and Income Distribution in America: How Do We Measure Income Distribution ? Year Lowest Quintile | to 20% 60% 80% Тор 5% 40% to to to 40% 60% 80% 100% 1967 4.0 1970 4.1 1975 4.3 1980 4.2 1985 3.9 1990 3.8 1995 3.7 2000 3.6 2005 3.4 2010 |3.3 2013 3.2 10.8 10.8 17.3 24.2 43.6 17.2 17.4 24.5 43.3 16.6 10.4 17.0 24.7 43.6 16.5 16.5 17.6 10.2 16.8 24.7 44.1 9.8 16.2 24.4 45.6 9.6 15.9 24.0 46.6 18.5 9.1 15,2 23.3 48.7 21.0 8.9 14.8 23.0 49.8 22.1 22.2 23.0 23.4 50.4 8.6 8.5 14.6 14.6 50.3 21.3 8.4 14.4 23.0 51 22.2 O4:45/ 11:42 YouTube Q E: CC LJ Is increased income inequality a natural outcome of the a capitalist system? Select one: a. Yes b. No

What is a "quintile"? Provide and explain one example of how this concept is used in the discussion of income distribution.