Exam 20: Economic Inequality

The demand curve for high-skilled workers lies ________ the demand curve for low-skilled workers and the supply curve of high-skilled workers lies ________ the supply curve of low-skilled workers.

The demand for labor i.depends on the availability of labor. ii.decreases when the supply of labor increases. iii.depends on the value of marginal product of labor.

Three types of income maintenance programs used by the United States are

The figure above shows the demand and supply curves for high-skilled (indicated by an "H" subscript) and low-skilled (indicated by an "L" subscript) workers. -In the figure above,if the value of the marginal product of skill increased,then the

In the United States in 2004,the wealthiest 1 percent of households held approximately ________ percent of all wealth.

Suppose a government imposes the following tax rates on its citizens. The government has imposed a ________ tax system because the tax rate ________ with the level of income.

Which of the following is (are)an example of an income maintenance program? i.unemployment compensation ii.welfare programs iii.Social Security programs

A ________ tax is one that taxes income at an average rate that increases with the level of income.

A Lorenz curve for income shows the

Inequality in the distribution of income and wealth is increased by

The highest-income household in the United States today is likely to be a college-educated

The factor that leads to the largest difference in households' incomes is

Looking at the income distribution in the United States since 1970,we see that

Of the following major characteristics that lead to income disparity,the factor with the smallest impact is

Which of the following statements correctly describes how taxes redistribute income across different households in an economy? A) The richest 40 percent of households increase their share of income. B) The poorest 60 percent of households increase their share of income. C) Taxes have no effect on the distribution of income. D) The poorest 20 percent of households receive 20 percent of their income from the government. E) The richest 20 percent of households increase their share of income and the poorest 20 percent decrease their share of income.

The table above shows three taxpayers,their incomes,and taxes owed.The data reflect a ________ income tax system because people pay ________.

Country A has a more equal distribution of income than country B if

Of age,marital status,family size,education,and race,which is the single biggest factor affecting the household income distribution?

One reason why economists earn more than Taco Bell workers is because economists have a ________ value of marginal product of labor than Taco Bell workers.

-The above table shows the distribution of income in two imaginary countries,Alpha and Beta. a.What does the table tell you about the second 20 percent group in each country? b.Calculate the cumulative percentage for both countries. c.Interpret the cumulative percentage for the third 20 percent group in both countries.