In an Effort to Make the Distribution of Income More

question 233

Multiple Choice

In an effort to make the distribution of income more nearly equal, the government of a country passes a tax law that changes the Lorenz curve from for 2004 to for 2005. Find the Gini coefficient of income for both years. Round your answer to six decimal places. ​

• A) 2004: 0.331754 2005: 0.234910
• B) 2004: 0.434783 2005: 0.316194
• C) 2004: 0.268199 2005: 0.186871
• D) 2004: 0.225080 2005: 0.155144
• E) 2004: 0.630631 2005: 0.483492

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Definitions:

Corporate Deviance

Actions by companies or their representatives that violate legal or ethical standards, often to gain profit or an unfair advantage.

Threats

Expressions of intent to cause harm or adverse actions against someone or something.

Penalties

Punishments imposed for breaking a law, rule, or contract.

Intangible Nature

The aspect of something that cannot be touched or physically measured, often related to abstract qualities like culture or knowledge.