Explain why an increasing divorce rate tends to increase the inequality of income
Divorces create two households where formerly there had been one, usually lowering the income per household in the process. This increases the apparent income inequality. Even if the household had two incomes, each now moves from a much higher bracket/quintile to a lower one.
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Suppose the growth in GDP per hour resulting from physical capital in an economy is 1% and the growth resulting from human capital is 2%. If the annual growth rate of GDP per hour is 5%, the growth resulting from technology equals:
A) 4%. B) 3%. C) 2%. D) 1%.
According to the equation of exchange, if the quantity of money is $20 billion, velocity 3, and real GDP is $6 billion, then the price level is
A) 10. B) 1.1. C) 2. D) 1.6. E) 40.
Having a government agency certify bond rating agencies may not be desirable
Indicate whether the statement is true or false
Which of the following statements accurately shows the relationship between scarcity and resources?
a. There are enough inputs. b. There is a limited amount of inputs. c. There are enough outputs. d. There is a limited amount of outputs.