A certain country's income distribution is described by the function
Sketch the Lorentz curve for this function.
Compute and interpret your results.
A)
The lowest 60 percent of the people receive 37.3 percent of the total income. The lowest 80 percent of the people receive 64.9 percent of the total income.
B)
The lowest 80 percent of the people receive 37.3 percent of the total income. The lowest 60 percent of the people receive 64.9 percent of the total income.
C)
The lowest 60 percent of the people receive 37.3 percent of the total income. The lowest 80 percent of the people receive 64.9 percent of the total income.
Correct Answer:
Verified
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