When China Embarked on Market Changes Towards Urbanization and Manufacturing

question 38

Multiple Choice

When China embarked on market changes towards urbanization and manufacturing in 1978, urban disposable incomes were 2.6 times greater than rural net income. By 2008 they were 3.3 times bigger. Which of the following have the market changes sketched above have most likely NOT caused?

• A) Increased income inequality between rural and urban populations
• B) A movement towards a bell-shaped distribution of income
• C) An increased Gini ratio
• D) The Lorenz curve for income to move further away to the line of equality

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Definitions:

Irrational Appraisal

An evaluation or judgment of a situation or event that significantly distorts reality, often leading to inappropriate emotional or behavioral responses.

Albert Ellis

An American psychologist who developed Rational Emotive Behavior Therapy (REBT), a form of psychotherapy that emphasizes changing irrational beliefs.

Graduate School

An advanced program of study focused on a particular academic discipline or profession, typically following the completion of a bachelor's degree.

Rational Emotive Therapy

A form of cognitive-behavioral therapy focusing on changing irrational beliefs to alter emotional and behavioral responses.