The Graph Shown Displays a Lorenz Curve

question 21

Multiple Choice

The graph shown displays a Lorenz curve. Which of the following statements is true?

• A)Curve B demonstrates a more equal society than curve A.
• B)The top 10 percent of earners in the society represented by curve B earn a higher percentage of total income than the top 10 percent of earners in the society represented by curve A.
• C)Curve B represents a more desirable society.
• D)Individuals in the society represented by curve B must work longer hours than individuals in the society represented in curve A in order to reach the same income.

---

Definitions:

Delegatee

A person to whom duties, responsibilities, or authority is transferred from another, the delegator.

Delegator

A person or entity that assigns tasks or authority to others to carry out specific duties.

Obligee

The party in a contractual agreement who is owed a performance or payment by another party (the obligor).

Assignee

An individual or entity to whom rights or interests are transferred by another, known as the assignor.