Chapter 18

  1. The distribution of wealth in Australia is such that it:



    D. Contributes to income inequality.
  2. Image Upload 1
    The above table shows different scenarios of income distribution. Refer to the above table. The highest quintile of households in the (b) income distribution receives about:



    A. 51% of the income.
  3. The Lorenz curve is used to visualise the:



    D. Degree of inequality in the distribution of income.
  4. The Lorenz curve:



    B. Plots graphically the distribution of income.
  5. Which of the following is a non-cash transfer?



    B. Subsidised housing.
  6. With respect to the overall impact of taxes and transfers upon the distribution of income, it can be said that:



    C. Both taxes and transfers reduce income inequality.
  7. Which of the following contributes to income inequality?



    A. All of the answers given are correct.
  8. Image Upload 2
    The above table represents income distribution in Australia. Refer to the above table. Which of the following statements concerning the table is correct?



    B. The share of income going to the highest-income quintile was higher in 1990 than in 1967.
  9. Image Upload 3
    The above table represents income distribution in Australia. Refer to the above table. Which of the following statements best describes the data in the table?



    A. Between 1967 and 1990, the highest 40% of households gained a larger share of total income at the expense of the lowest 60%.
  10. When compared with a before-tax Lorenz curve, a progressive income tax would cause an after-tax Lorenz curve to be:



    C. Less bowed to the south east.
Author
Anonymous
ID
182012
Card Set
Chapter 18
Description
Income inequalities
Updated