Pearson eText Economics -- Instant Access (Pearson+)
13th Edition
ISBN: 9780136879459
Author: Michael Parkin
Publisher: PEARSON+
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Chapter 19, Problem 19APA
To determine
The profit maximizing quantity, price, and the total revenue per day of the monopolist.
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Students have asked these similar questions
The income distribution for a certain country in 1996 was estimated by the function f(x) =
0.66x2 +0.34x. In 2000 the income distribution was estimated by the function f(x) = 0.3x
0.72x2 -0.02x3
a. Find the coefficient of inequality for each of the years
7.
b.
Which year had a more equitable income distribution? Why?
A group of 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. What percent
of the total income is represented by the highest quintile? Round your answer to the nearest tenth.
Provide your answer below:
What is the "incentive effects" critique of of income redistribution? (Hint: This was exemplified by the arguments of early English industrialists and Classical economists in their push to reform the Old Poor Laws)
Chapter 19 Solutions
Pearson eText Economics -- Instant Access (Pearson+)
Ch. 19.1 - Prob. 1RQCh. 19.1 - Prob. 2RQCh. 19.1 - Prob. 3RQCh. 19.1 - Prob. 4RQCh. 19.1 - Prob. 5RQCh. 19.2 - Prob. 1RQCh. 19.2 - Prob. 2RQCh. 19.2 - Prob. 3RQCh. 19.3 - Prob. 1RQCh. 19.3 - Prob. 2RQ
Ch. 19.3 - Prob. 3RQCh. 19.3 - Prob. 4RQCh. 19.3 - Prob. 5RQCh. 19.4 - Prob. 1RQCh. 19.4 - Prob. 2RQCh. 19.4 - Prob. 3RQCh. 19 - Prob. 1SPACh. 19 - Prob. 2SPACh. 19 - Prob. 3SPACh. 19 - Prob. 4SPACh. 19 - Prob. 5SPACh. 19 - Prob. 6SPACh. 19 - Use the following table to work Problems 7 and 8....Ch. 19 - Prob. 8SPACh. 19 - Prob. 9APACh. 19 - Prob. 10APACh. 19 - Prob. 11APACh. 19 - Prob. 12APACh. 19 - Prob. 13APACh. 19 - Prob. 14APACh. 19 - Prob. 15APACh. 19 - Prob. 16APACh. 19 - Prob. 17APACh. 19 - Prob. 18APACh. 19 - Prob. 19APACh. 19 - Prob. 20APACh. 19 - Prob. 21APACh. 19 - Prob. 22APACh. 19 - Prob. 23APA
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- Explain how income inequality in the United States is measured and described.arrow_forwardA group of 10 old college friends have the following annual incomes: Income $32, 000 $12, 000 $56, 000 $120, 000 $10, 000 $38, 000 $70, 000 $16, 000 $20, 000 $24, 000 What is the total income received by the top quintile of this income distribution? Provide your answer below:arrow_forwardPoverty and Income Distribution: End of Chapter Problems 4. Currently, the poverty threshold for a family of four is just over $25,000 a year. Among the given factors that affect poverty, indicate those that the official poverty threshold accounts for and those that it does not. Accounted for by the official poverty threshold Not accounted for by the official poverty threshold Answer Bank Differences in tax rates between different locales Inflation The cost of essential living expenses Changes in noncash benefits Geographical differences in the cost of livingarrow_forward
- Identify some public policies that can reduce the level of economic inequalityarrow_forwardConsider an income distribution S: (10, 20, 30, 50, 100). Suppose it is divided into two groups, group A: (10, 30, 50) and group B: (20, 100). Let the poverty line be 30. (a) Show that for both Headcount and Poverty Gap, the weighted sum of poverty for group A and group B is the same as the overall poverty in S. (b) Now consider a relative poverty line which is 60 percent of the median income for each group. Will the decomposition rule still hold? Explain. Your answerarrow_forwardConsider a Maldives island with ten inhabitants. Answer the questions below. a) Plot the Lorenz curve for the income distribution: (2,2,4,6,8,20,30,40,60,100) (2,2,4,6,8,20,30,40,60,100) Consider an income redistribution that takes 20% of income from each of the three richest individuals and distribute equally to individuals that have an income below the poverty line (9). Plot the Lorenz curve again to demonstrate that inequality has decreased. What happened to the coefficient of variation between the two periods? What can you conclude about the change in inequality between periods from this? b) Show on the same diagram the Lorenz curve for the income distribution: (8,18,20,22,26,28,30,32,40,48)(8,18,20,22,26,28,30,32,40,48) Compare and comment this new Lorenz curve with the Lorenz curves in part (a). Then, show that the three social welfare functions, W=∑MhW=∑Mh, W={MinWh}W={MinWh}, and W={MaxWh}W={MaxWh} rank the income distributions in parts (a) and (b) differently. c) Calculate the…arrow_forward
- Make a case for income inequalityarrow_forwardIncome inequality at one point in time is sometimes consistent with the income equality over time. Explainarrow_forwardDina and Charles are married, under the age of 65, and have two children under the age of 18. Charles works full time and earns $19,000, while Dina works part time and earns $9,000. Thus, in total, their family income is $28,000. Are Charles and Dina living in poverty? O Yes O No Suppose that Charles divorces Dina and leaves the family without paying alimony or child support. Dina must now support her two children alone, so she begins working full time and earns a total of $18,000. Are Dina and her children living in poverty? O Yes O No Again, consider Dina, a single mother with two children under 18 who earns an annual income of $18,000. Suppose that Dina qualifies for a welfare program for single mothers that provides her with $4,000 in food assistance. After receiving welfare, is Dina's family living in poverty? O Yes O Noarrow_forward
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