-The Above Figure Shows the Lorenz Curve for Wealth for the Nation

question 14

Multiple Choice

-The above figure shows the Lorenz curve for wealth for the nation of Rusha. If the government were to confiscate all of the wealth from the poorest twenty percent of the population and give it to the wealthiest twenty percent, the Lorenz curve would

• A) not change.
• B) shift farther away from the line of equality.
• C) shift closer to the line of equality.
• D) flip above the line of equality.

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Definitions:

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The condition of a pregnant woman going into labor before 37 weeks of gestation, potentially leading to premature birth.