Which of the following is inappropriate as description about Lorenz curve?
(a)if two Lorenz curves intersect with each other, we cannot judge which one represents more equal distribution
(b)if all persons have exactly the same amounts of income, Lorenz curve is identical with diagonal line
(c)a Lorenz curve which is closer to diagonal line represents relatively more equal distribution
(d)Lorenz curves of two countries cannot insect with each other
Answers
Answered by
0
Answer:
I think it's B) if all persons have exactly the same amounts of income, Lorenz curve is identical with diagonal line
Answered by
0
Answer:
What Is a Lorenz Curve?
A Lorenz curve is a graphical representation of income inequality or wealth inequality developed by American economist Max Lorenz in 1905. The graph plots percentiles of the population on the horizontal axis according to income or wealth. It plots cumulative income or wealth on the vertical axis, so that an x-value of 45 and a y-value of 14.2 would mean that the bottom 45% of the population controls 14.2.
Similar questions