Which of the Following Statements Is True

question 32

Multiple Choice

Which of the following statements is true?

• A)If the Gini coefficient is large, then the space between the Lorenz curve and the line of perfect income equality will be small.
• B)If the Gini coefficient is 1.00, then the Lorenz curve and the line of perfect income equality coincide.
• C)If the government succeeds in decreasing income inequality, then the Gini coefficient will decrease.
• D)If the Gini coefficient is 0.50, then one-half of the households earn one-half of the income, and the other half of the households earn the other half.

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