Do you think that it is the responsibility of the high-income earners to narrow the income inequality gap by donating their wealth to the low-income earners? We agree that it is the responsibility of the high-income earners earning households to narrow the income inequality gap by donating their wealth to the low-income earners households. This is because the income inequality is widening despite the government's effort to increase the income of the low-income earners, therefore high-income earners should provide assistance.

Do you think that it is the responsibility of the high-income earners to narrow the income inequality gap by donating their wealth to the low-income earners? We agree that it is the responsibility of the high-income earners earning households to narrow the income inequality gap by donating their wealth to the low-income earners households. This is because the income inequality is widening despite the government's effort to increase the income of the low-income earners, therefore high-income earners should provide assistance.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter15: Poverty And Economic Inequality

Section: Chapter Questions

Problem 1SCQ: Describe how each of these changes is likely to affect poverty and inequality: Incomes rise for...

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Similar questions

A group 0f 10 people have the following annual incomes: 24,000,18,000,50,000,100,000,12,000,36,000,80,000,10,000,24,000,16,000. Calculate the share of total income that each quintile receives from this income distribution. Do the top and bottom quintiles in this distribution have a greater or larger share of total income than the top and bottom quintiles of the U.S. income distribution?
Explain how a country may experience greater equality in the distribution of income, yet still experience high rates of poverty. Hint: Look at the Clear It Up 'How do governments measure poverty in low-income countries?' and compare to Table 15.5.
Using two demand and supply diagrams, one for the low-wage labor market and one for the high-wage labor market, explain how information technology can increase income inequality if it is a complement to high-income workers like salespeople and managers, but a substitute for low-come workers like file clerks and telephone receptionists.
Which set of policies is more likely to cause a tradeoff between economic output and equality: policies of redistribution policies aimed at the ladder of opportunity? Explain how the production possibility frontier tradeoff between economic equality and output might look in each case.
What goods and services would you include in an estimate of the basic necessities for a family of four?
Describe how each of these changes is likely to affect poverty and inequality: Incomes rise for low-income and high-income workers, but rise more for the high-income earners. Incomes fall for low-income and high-income workers, but fall more for high-income earners.
How does the TANF attempt to loosen the poverty trap?
Imagine that the government reworks the welfare policy that was affecting Jonathan in question 1, so that for each dollar someone like Jonathan earns at work, his government benefits diminish by only 30 cents. Reconstruct the table from question 1 to account for this change in policy. Draw Jonathans labor-leisure opportunity sets, both for before this welfare program is enacted and after it is enacted.
Here is one hypothesis: A well-funded social safety net can increase economic equality but will reduce economic output. Explain why this might be so, and sketch a production possibility curve that shows this tradeoff.
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