Y10 Lorenz Curve

The Lorenz curve shows

• The total income earned by each quintile

• The income distribution within a population

• The level of income below which families are considered to be poor

• The Gini coefficient at each level of income

If Freedonia achieves complete income equality, its Lorenz curve will:

• Be along the horizontal axis

• Be along the vertical axis

• Be horizontal

• Be along the diagonal

What can be seen in the source?

• France’s distribution of income is more equal than Sweden’s.

• France’s distribution of income is more equal than Brazil’s.

• The US income distribution is more equal than that of Sweden

• Brazil has the most equal income distribution

Identify the country with the highest in inequality

• Sweden

• France

• Brazil

• United States

Identify the country with the lowest in inequality

• Sweden

• France

• Brazil

• United States

Absolute inequality would yield a Gini coefficient of

• 1

• 0.2

• 0.0

• 0.5

If Freedonia’s income distribution is more equal than that of the neighbouring country of Ecotopia, then Freedonia’s Gini coefficient:

• Is less than Ecotopia

• Freedonia’s Gini coefficient is positive and Ecotopia’s is negative

• Freedonia’s Gini coefficient is greater than one and Ecotopia’s is less than one

• Freedonia’s Gini coefficient is greater than Ecotopia’s

China’s Gini coefficient has risen from 0.3 in 1980 to around 0.48 in 2016, indicating:

• Increase in income inequality

• Decrease in income inequality

• Income inequality remained the same

• More people were given jobs

Which country has total income equality?

• Country 1

• Country 2

• Country 3

• Country 4

• Country 5

Which country has the highest income inequality?

• Country 1

• Country 2

• Country 3

• Country 4

• Country 5