When the Lorenz curve lies above the diagonal,
a. the poorest 20 percent of the population receives more than 20 percent of income
b. the richest 20 percent of the population receives more than 20 percent of income
c. every quintile receives identical incomes
d. it indicates that total income has increased even though the distribution of income remains unchanged
e. it is incorrectly drawn because no Lorenz curve can lie above the diagonal
E
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Government regulations that increase the cost to the employer of hiring workers will:
A. increase the supply of labor. B. increase the demand for labor. C. decrease the supply of labor. D. decrease the demand for labor.
An economic slowdown in Europe is likely to lead to a(n):
a. decrease in U.S. exports and U.S. aggregate demand. b. increase in U.S. exports and U.S. aggregate demand. c. decrease in U.S. imports and U.S. aggregate demand. d. increase in U.S. imports and U.S. aggregate demand.
Because the demand for wheat tends to be inelastic, the development of a new, more productive hybrid wheat would tend to
a. increase the total revenue of wheat farmers.
b. decrease the total revenue of wheat farmers.
c. decrease the demand for wheat.
d. decrease the supply of wheat.
A decrease in the price of domestically produced nuclear reactors will be reflected in Select one:
a. both the GDP deflator and the consumer price index.
b. neither the GDP deflator nor the consumer price index.
c. the GDP deflator but not in the consumer price index.
d. the consumer price index but not in the GDP deflator.