Exam 19: Economic Inequality

Which of the following groups is the LEAST likely to be poor?

Among the United States, Finland, and South Africa, income is distributed most equally in ________ and least equally in ________.

Which household characteristic has the largest effect on household income distribution?

-In the figure above in the market for high-skilled labor, the equilibrium wage rate is

A proportional income tax is a tax that taxes income at a constant rate.

The data show that an individual's wealth tends to first increase and then to decrease over the person's lifetime.

Last year you earned $45,000 and paid $9,000 in income taxes. This year you earned $60,000 and paid $15,000 in income taxes. What kind of income tax do you face?

-The Lorenz curve graphs the

-In the figure above, the lowest 20 percent of all households receive ________ percent of all income, the next lowest 20 percent receive ________ percent of all income and the richest 20 percent receive ________ percent of all income.

The "mode" household income is

-In the figure above, the quantity of low-skilled labor employed is

-In the figure above, the Lorenz curve that shows the least inequality, but NOT perfect equality, is

In the United States

-The "big tradeoff" refers to the tradeoff between

The income that includes a household's earnings in addition to cash transfers from the government is called

The entry of China and other developing countries into the global economy ________ the value of marginal product of factory workers in the United States and ________ their wage rate.

The world distribution of income has become more equal since 1970 because

-In the figure above, income is most unequally distributed

"Over the past two decades, the distribution of income in the United States has become more equal." Is the previous statement or in? Briefly explain your answer.

Which of the following will NOT increase a worker's human capital?