Which of the Following Statements Is True Regarding the Distribution

question 49

Multiple Choice

Which of the following statements is true regarding the distribution of income in Australia?

• A) The Lorenz curve shows that incomes are distributed fairly.
• B) The line of equality shows that incomes are distributed equally.
• C) The inequality in the distribution of income can be seen because the Lorenz curve lies above the line of equality.
• D) The inequality in the distribution of income can be seen because the Lorenz curve lies below the line of equality.
• E) Both answers A and B are correct.

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Definitions:

Generational Group

A categorization of people based on their age group, often sharing similar characteristics, experiences, or societal influences.

Baby Boomers

denote the generational cohort born approximately between 1946 and 1964, characterized by their experiences in a post-World War II environment, distinct cultural traits, and significant influence on economies and societies.

Generation X

The demographic cohort following the Baby Boomers and preceding the Millennials, generally born between the mid-1960s and early 1980s.

Long-term Orientation

A cultural characteristic that emphasizes the value of future rewards over immediate gratification.