(a) The income gap ratio and the head count, as measures of poverty, may lead to very of antipoverty resources by policy makers. (b) The poverty gap ratio and the income gap ratio focus attention on different aspects of the poverty problem. (c) Both the poverty gap ratio and income gap ratio are insensitive to the inequality among the poor. (d) The FGT indices are increasingly sensitive to the income distribution among the poor, the greater is the value of a

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
icon
Related questions
Question

Q-3 Are the following statement true of false ? 

You need to provide an aurgument for and against it why it is so.

(a) The income gap ratio and the head count, as measures of poverty, may lead to very different uses
of antipoverty resources by policy makers.
(b) The poverty gap ratio and the income gap ratio focus attention on different aspects of the poverty
problem.
(c) Both the poverty gap ratio and income gap ratio are insensitive to the inequality among the poor.
(d) The FGT indices are increasingly sensitive to the income distribution among the poor, the greater
is the value of a.
Transcribed Image Text:(a) The income gap ratio and the head count, as measures of poverty, may lead to very different uses of antipoverty resources by policy makers. (b) The poverty gap ratio and the income gap ratio focus attention on different aspects of the poverty problem. (c) Both the poverty gap ratio and income gap ratio are insensitive to the inequality among the poor. (d) The FGT indices are increasingly sensitive to the income distribution among the poor, the greater is the value of a.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Standard Deviation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
Economics
ISBN:
9780190931919
Author:
NEWNAN
Publisher:
Oxford University Press
Principles of Economics (12th Edition)
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education