In a Lorenz Diagram for Income, the Line of Equality

question 277

Multiple Choice

In a Lorenz diagram for income, the line of equality shows

• A) the most equitable income distribution.
• B) how unequally incomes are distributed.
• C) how much redistribution occurs.
• D) the income distribution if everyone received the same income.

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Definitions:

Perceptual Process

The series of steps that begins with stimuli in the environment and leads to the perception of that stimulus, involving selection, organization, and interpretation of sensory input.

Exposure

refers to the state of being subject to an influencing factor or environment, often relating to the amount of light in photography, the spread of disease, or the risk factor in finance.

Sense of Sound

The perception or ability to detect vibrations through the ear, leading to the experience of hearing.

Colour

A property of objects that results from the light they emit or reflect, affecting human perception and psychological responses.