The basic economic argument for creating greater income inequality is that:O a more equal distribution of income will tend to maximize incentives to produce, work, invest, and assumerisk.a more uequal distribution of a given amount of income will increase the total utility of consumers.O the progressive income tax system and array of government transfer programs already ensures that allindividuals and household will wind up with identical incomes.O the richest individuals and households will buy more luxury goods and services, which then create highskilled, high paying jobs for the least educated, lowest income workers.G Search or type URL&%2324delete1124.569.QtabGKreturncaps lock The twin, persistent problems of the U.S. health care industry are:rapidly rising costs and unequal (lack of) access to health care.declining quality of health care services and the duplication of specialized equipment at hospitals.O declining per capita spending on health care services, leading to perpetual reductionbeing createdhealth care jobsO the moral hazard problem, where people covered with health insurance no longer use the health care systemand engage in no self-care or healthy behaviorsMacBodG Search or type URLく&*%23%2424.578.9.

The degree to which wealth is distributed unequally within a society is referred to as income…

The basic economic argument for creating greater income inequality is that: Oa more equal distribution of income will tend to maximize incentives to produce, work, invest, and assume risk. a more uequal distribution of a given amount of income will increase the total utility of consumers. the progressive income tax system and array of government transfer programs already ensures that all individuals and household will wind up with identical incomes. O the richest individuals and households will buy more luxury goods and services, which then create high skilled, high paying jobs for the least educated, lowest income workers.

The basic economic argument for creating greater income inequality is that: Oa more equal distribution of income will tend to maximize incentives to produce, work, invest, and assume risk. a more uequal distribution of a given amount of income will increase the total utility of consumers. the progressive income tax system and array of government transfer programs already ensures that all individuals and household will wind up with identical incomes. O the richest individuals and households will buy more luxury goods and services, which then create high skilled, high paying jobs for the least educated, lowest income workers.

Principles of Microeconomics (MindTap Course List)

8th Edition

ISBN:9781305971493

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter20: Income Inequality And Poverty

Section: Chapter Questions

Problem 5PA

See similar textbooks

Similar questions

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.
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?
Using two demand and supply diagrams, one for the low-wage labor market and one for the high-wage labor market, explain how a program that increased educational levels for a substantial number of low-skill workers could reduce inflame inequality.
Redistribution of income occurs through the federal income tax and government antipoverty programs. Explain whether or not this level of redistribution is appropriate and whether more redistribution should occur.
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.
Describe how a push for economic equality might reduce incentives to work and produce output. Then describe how a push for economic inequality might nut have such effects.
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.
Why is there reluctance on the part of some in the United States to redistribute income so that greater equality can be achieved?