Table 20-9 Income Inequality in the United States

question 159

Multiple Choice

Table 20-9
Income Inequality in the United States
The values in the table reflect the percentages of pre-tax-and transfer income. Source: US Census Bureau
-Refer to Table 20-9. Which of the following statements best describes the trends in the table?

• A)From 1980 to 2010, the distribution of income has become less equal.
• B)From 1980 to 2010, the distribution of income has remained the same.
• C)From 1980 to 2010, the distribution of income has become more equal.
• D)None of the above is correct.

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Definitions:

Long Run

A period of time in which all factors in a production process can be varied, allowing for the adjustment to changes in market or economic conditions.

Economic Power

The ability of an entity or country to influence or control economic activities, including production, trade, and consumption.

Political Power

Political power is the capacity or ability of a political entity, such as a state or government, to control or influence the behavior of individuals and organizations within a society.

Natural Monopolies

Industries where a single firm can supply a good or service to an entire market at a lower cost than would be possible if there were multiple firms.