If the Gini co-efficient for an economy is 0.85, which of the following statemen
ID: 1207894 • Letter: I
Question
If the Gini co-efficient for an economy is 0.85, which of the following statements is true?
The Lorenz curve for the economy will be a rectangle.
The Lorenz curve for the economy will coincide with the line of perfect equality.
The Lorenz curve for the economy will bow above the line of perfect equality.
The Lorenz curve for the economy will bow down below the line of perfect equality.
The national income of this economy is more or less equally distributed.
a.The Lorenz curve for the economy will be a rectangle.
b.The Lorenz curve for the economy will coincide with the line of perfect equality.
c.The Lorenz curve for the economy will bow above the line of perfect equality.
d.The Lorenz curve for the economy will bow down below the line of perfect equality.
e.The national income of this economy is more or less equally distributed.
Explanation / Answer
The correct answer is option (C). The Lorenz curve for the economy will bow above the line of perfect equality
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.