Answered: Use the two different distributions of…

Use the two different distributions of income in the table below to answer the questions f follow. a. Use the grid below and graph the two Lorenz curves. b. Which curve has a more equal distribution?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

quintile	cumulativeshare of households	a	cumulative share of income	b	cumulative share of income
poorest		10.5		2.5
2nd		13.2		6.8
middle		21.6		13.9
4th		26.4		24.2
richest		28.3		52.6

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