Suppose that the Lorenz curve for a country satisfies•0.5L(x) dx = 0.06,and the Gini Index is 0.6.1b L(x) dæ =0.5Then we can compute that

Gini Index measures the extent to which the distribution of income among individuals or households…

Answered: uppose that the Lorenz curve for a…

uppose that the Lorenz curve for a country satis 0.5 L(x) dæ = 0.06, nd the Gini Index is 0.6. | L(x) dæ = hen we can compute that J0.5

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: can someone calculate the gini coefficent please?

A: The Ginni coefficient is used to calculate income and wealth inequalities in the society. The Ginni…

Q: Q4. Explain the Roy Model of immigration with the help of a diagram, how the immigrants take…

A: 4) The economic success of a civilization has a direct connection to its population. A population's…

Q: As an economist analyze five factors contributing to the persistence of gender inequality in…

A: Approach to solving the question:1. Cultural and Social Norms: Discuss how cultural beliefs and…

Q: Imagine an economy with only two types of workers, unskilled (u) and skilled (s). The supply curves…

A: 1. Supply curve for unskilled workers (LSU): 2. Supply curve for skilled workers (LSS): 3. Demand…

Q: Need help ASAP, will give thumbs up: QUESTION: If you can use data from all of the Census years…

A: From the data , it can be seen that initially when immigrants worker arrived there was a high wage…

Q: Explain what the long- and short-termconsequences are of not promoting equality or workingto reduce…

A: Poverty is defined as a situation in which one's earnings from work are insufficient to meet one's…

Q: Given the following information, derive the Lorenz curve and compute the Gini coefficient. Income…

A: Lorenz curve and Gini coefficient are the two measures of the inequality that prevails in any…

Q: Why it is important to investigate the relationship between migration and income inequality?…

A: Income difference (determined by the number of money individuals are paid) and wealth inequality are…

Q: ompare the Human Development Index and Multidimensional Poverty Index in Ghana & Cote d'Ivoire

A: The HDI is the magnitude that shows the average development of humans in the country. Different…

Q: List the causes of structural poverty?

A: Poverty is about not having enough money to meet individuals' basic needs, including food, shelter,…

Q: Elaborate on the difference between labour and wealth inequality. Explain which measures we use to…

A: The a term inequality refers to the difference between two groups or two things. Inequality can be…

Q: Briefly discuss three main approaches to the child labour policy.

A: Understanding of Child labour On the other hand, the work of children can be seen in a wide variety…

Q: Cumulative percentage of income 90 80 70 60 50 40 30 20 10 0 d 40 20 60 80 Cumulative percentage of…

A: Lorenz curve is a graphical representation of the relationship between the income percentage and the…

Q: Q4] Compute the Gini coefficient assuming the region beneath the two respective Lorenz curve is -…

A: The Gini coefficient measures the extent to which income distribution within a country deviates from…

Q: The occupational distribution for a small country is below: Male Female Service 5% 30% Professional…

A: Male Female Fraction of females (Fi) Fraction of male (Mi) Fi - Mi Absolute value of Fi - Mi…

Q: advantage of human poverty index

A: The Human Poverty Index (HPI) is a composite index that measures poverty in developing countries…

Q: Why is it more efficient for the government to offer employment insurnace than for private insurance…

A: Employment insurance (EI) is a program that provides financial assistance to eligible individuals…

Q: Using the above Lorenz Curve, the richest 20% in Economy B has approximately A B с D 40 50 60 70 E…

A: Lorenz curve is a graphical representation of income inequality. If the country's Lorenz curve is…

Q: Discuss reasons why women are more likely to be economically burdened in old age vs men.

A: A person is said to be economically burdened in old age (or in any stage of life) when his/her…

Q: 14. In the following table, profit earned is given from the number of companies belonging to two…

A: A Lorenz curve is a graphical representation of inequality in wealth or income data.

Q: Among the properties of the inequality indices, we have seen the Pigou Dalton principle. Do You…

A: Pigou Dalton principle approach towards maximize the social welfare. It states that allocation in an…

Q: Find the gini index for a country with a Lorenz curve of y=x3. How does the gini index relate to…

A: A Lorenz curve is a graphical representation of how wealth or income is distributed in a population.…

Q: thesis statement

A: Racial inequality :- In the current time, The effects of inequality in the workplace are shown…

Q: What is the Global Gender Gap Index?

A: Global Gender Gap Index evaluates the average income earned by female to the income earned by male.

Q: What are the benefits to future researchers if we investigate the relationship between migration and…

A: Inequality: It refers to the process under which the resources are distributed in an unequal way.…

Q: suppose potential migrants are risk averse. What might happen to the migrant equilibrium and the…

A: In the Harris-Todaro model of rural-urban migration, ability migrants decide whether or not to…

Q: Briefly discuss what measuring inequality involves, and provide two examples for doing so.

A: Inequality means biasness that may incur in the society.

Q: Show graphically or mathematically how an increase of the wage rate for educated workers affects the…

A: As Ginni coefficient = (Area between line of equality and the Lorenz curve) / (area below the line…

Q: Is per-capita purchasing power a bettermeasure of economic inequality thanper capita income?…

A: Money has been recognised since many ages and people are using money for various purposes. Money is…

Q: What has happened to the location of the Lorenz curve of annual earnings over the past 35 years?…

A: Over the past few decades, the US economy has seen a dramatic growth in income disparity. As the…

Q: What are the benefits to POLICY MAKER when we studied the relationship between the migration and the…

A: Economic inequality can take several forms, the two most frequent of which are differences in wealth…

Q: Below is the Lorenz curve of the country Laurania. Lorenz Curve of Laurania 100 100 Cumulative…

A: Gini coefficient is a measure of income inequality in a country.

Q: suppose that A=100%, b=48%, c=23%, D=9% and E=2% How much income is earned by each quintile? (Just…

A: The Lorenz curve is a graphical representation of income or wealth distribution within a population.…

Q: 1. Below is a hypothetical breakdown of the income distribution in a country. Use those calculate…

Q: Although discrimination on the basis of a person's sex is illegal, there are no laws against sexual…

Q: The Baby Boom generation began retiring in 2011. This should not change the income distribution of…

A: Baby boomer is a term used to portray an individual who was brought into the world somewhere in the…

Question

Suppose that the Lorenz curve for a country satisfies
•0.5
L(x) dx = 0.06,
and the Gini Index is 0.6.
1
b L(x) dæ =
0.5
Then we can compute that

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

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

What is net migration formula?
Show graphically that the incidence of a tax on labor does not depend on who pays the tax.
Discuss distortions in the labour market contributing to poverty. Use references.
Is there an economic basis for the hostility towardunauthorized immigrants?
Indigenous people are ranked among the lowest income groups in Canada. O True O False
Poverty in less developed countries is largely due to?.
Consider a Lorenz curve given by f(2) = 2" for 0 1. What happens to the Gini index G. I as n+ 00, and what's the interpretation of that result? Select the correct answer below: O As n+ 00, G.1 - 0, denoting complete income inequality. As n+ 00, G.I- 100, denoting perfect income equality. As n0, G.I- 100, denoting complete income inequality. O As n 0, G.I 0, denoting perfect income equality
0.43 0.15 0.3 0.7 Cumulative of Income Putouilly Carve Cumulative of Population Poted begally Line The figure shows a Lorenz curve. If Area A is equal to 0.15 and Area B is equal to 0.35, what is the Gini coefficient? (Answers are rounded to two decimal places)
Using the above Lorenz Curve, if Economy A decreased the progressivity of income taxes, then Economy A's Lorenz Curve would shift closer to the 45-degree reference line. shift closer to Economy B's Lorenz Curve. not shift at all
Ten college students have accepted job offers for the year after they graduate. Their starting salaries are given here. Organize the data into quintiles and then, using these data, draw the Lorenz curve for this group. Finally, calculate the relevant Gini coefficient. Becky $42000 Billy $20000 Charlie $31000 Kasia $24000 Nina $34000 Raul $37000 Rose $29000 Thomas $35000 Willis $60000 Yukiko $32000 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
How is significant the relationship between migration and income inequality to the community, the people, and various institutions? Explain.
Define underutilisation from a labour market perspective, and explain the two components of it