The following table shows the approximate income distribution for Nicaragua, Haiti, and Croatia in 2011. In particular, it shows the income shares of each quintile of the income distribution. Income Group Lowest quintile Second quintile Third quintile Fourth quintile Highest quintile CUMULATIVE PERCENTAGE OF INCOME You cannot tell from this table which country has the least total income. 100 On the following graph, plot the Lorenz curves for the three countries. Plot Nicaragua's Lorenz curve using the green points (triangle symbol), Haiti's Lorenz curve using the blue points (circle symbol), and Croatia's Lorenz curve using the purple points (diamond symbol). Line segments will automatically connect the points. 80 60 40 20 Percentage of Total Income, 2011 Nicaragua Haiti Croatia 6 2 8 10 6 13 14 10 17 21 18 49 64 0 22 0 40 20 40 60 80 CUMULATIVE PERCENTAGE OF HOUSEHOLDS 100 Nicaragua Haiti Croatia (?) has the least income inequality. (Hint: You may want to refer to your previous answers.)

The following table shows the approximate income distribution for Nicaragua, Haiti, and Croatia in 2011. In particular, it shows the income shares of each quintile of the income distribution. Income Group Lowest quintile Second quintile Third quintile Fourth quintile Highest quintile CUMULATIVE PERCENTAGE OF INCOME You cannot tell from this table which country has the least total income. 100 On the following graph, plot the Lorenz curves for the three countries. Plot Nicaragua's Lorenz curve using the green points (triangle symbol), Haiti's Lorenz curve using the blue points (circle symbol), and Croatia's Lorenz curve using the purple points (diamond symbol). Line segments will automatically connect the points. 80 60 40 20 Percentage of Total Income, 2011 Nicaragua Haiti Croatia 6 2 8 10 6 13 14 10 17 21 18 49 64 0 22 0 40 20 40 60 80 CUMULATIVE PERCENTAGE OF HOUSEHOLDS 100 Nicaragua Haiti Croatia (?) has the least income inequality. (Hint: You may want to refer to your previous answers.)

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter15: Poverty And Economic Inequality

Section: Chapter Questions

Problem 7SCQ: Table 15.9 shows the share of income going to each quintile of the income distribution for the...

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