Question

Which statement below is correct about the Lorenz curve? It coincides with the 45-degree line when inequality is at the maximum. It was developed in the early 2000s as an objective measure of inequality. It is always upward sloping. It is a curve that shows the share of income received by each group of people in an economy.

Answer 1

Ans) the correct option is d) It is a curve that shows the share of income received by each group of people in an economy.

The Lorenz Curve is a curve that shows the percentage of total household incomes received successively larger fractions of the population