5

Calculate Poand the total poverty gap. The government will impose tax of 20% On the income of the richest quintile and transfer equally to all the poor In the econo...

Question

Calculate Poand the total poverty gap. The government will impose tax of 20% On the income of the richest quintile and transfer equally to all the poor In the economy. How do you expect this policy to impactthe extent and depth of poverty?? What property ofthe measures of inequality does iL satisfy

Calculate Poand the total poverty gap. The government will impose tax of 20% On the income of the richest quintile and transfer equally to all the poor In the economy. How do you expect this policy to impactthe extent and depth of poverty?? What property ofthe measures of inequality does iL satisfy



Answers

Use quintiles to briefly summarize the degree of income inequality in the United States. How and to what extent does government reduce income inequality? LOI

Um forward the line is particularly based on Level of income. A 4th country equality and inequality in income is based on the distribution of income inequality, and income is measured by comparing high income, low income and middle income individuals, but not only by considering near or the law poverty line individuals. A country can experience high quality of income distribution on the event income earned by age, individual. In that country's zero in that country, equality with people effect, but it causes a great problem of poverty. Thus high poverty along with equal distribution of income with the experienced by that country.

A group of 10 people have the following annual incomes $24,000.18,000 dollars $50,000.100,000 dollars, $12,000 very sick, $1000 $80,000 $10,000 $24,000.16,000 dollars. We want to calculate the share off the total income that each quintile receives from this in calm distribution. So, first of all, we would like to rank the house house by income from lowest to highest and girls as falls $10,000 proud $1000 $16,000 $18,000 $24,000 again, Tony for $30 $36,000 $50,000 $80,000 and asked me ah, $100,000. First of all, we would like to calculate the total that is $370,000 that is, to total income. And then, since there are 10 households total, the bottom quintile will just be the bottom two households. The second Queen tire will be the third and fourth house hose and so on, up to the top queen time. So the queen tiles and percentage for the total income for the data provided will be cock a late as the following. So, first of all, for the first Queen, tout a total income. Oh, just be. I need those two up $2000 pause, $12,000 which gives us $22,000 and same for the second queen tile. $60,000 plus $18,000. You says there'll be $4000. They're quintile is $24,000 plus $24,000 that is $48,000 but 1/4 quintile that will be $36,000 plus $50,000 and that gives us $86,000. And the fifth Queen tire will be $80,000 hose, $100,000 Which gives says $180,000. So those are the total income for each quintile, and then we want to calculate that person page off the total income. So for the first quintile it Opie Tony, $2000 over $370,000. That is the total you come, which is about 6%. But a second quintile, that will be $34,000 over $370,000 which is around 9.2% for the third quintile. That would be $28,000 body by $370,000 which is around 30%. And for the fourth Queen tile that ISS $86,000 over $370,000. That is about 23.2%. Before the fifth quintile, that will be 180 thousands over $370,000. That is about 48.6%. And then we want to know Do the top and bottom queen tiles in this distribution have a greater or larger share off the total income than a top, and a bottom queen tiles off that US income distribution. So comparing this distribution to that US in income distribution for 2000 and five, the top quintile in the example has a smaller share off total income than in the U. S. Distribution, and the bottom quintile has a larger share. So this pattern usually means that the income distribution in the example is more equal than the U. S. Distribution

Now, I'm going to move to talking about why it is difficult to determine a universal poverty threshold. So remember, the a poverty threshold is the minimum income you have to make to pay for basic living expenses. So if you're below that income, you're in poverty. So what's difficult to find a universal threshold is that it's hard to to measure basic expenses. So A Common one is food. So how do you measure how much a human being should eat every year? Right. And this is especially different when you measure food supply in the United States versus food supply and other countries. So there are different nutritional standards. So same thing with housing, um in the United States, what some consider as housing might be different than what someone in a third world country considers as housing. And there's a lot of variables, but these two are just examples of how it is hard to set a a strict universal poverty thresholds for everyone.

Hey, everyone. Today we're solving problem number 40 from chapter 14 of the textbook, which asks to reduce income and equality. Should the marginal tax rates on the top 1% be increased. So what we're told in this problem was that our angle is traduced income inequality. So when they write about in this text box right here and what we're told is that were asked to somehow manipulate marginal tax rates on the top 1%. So if we think about it logically, the top 1% of owners typically control a very high part of income throughout the nation. So we can write that out. That's gonna be important to how we answer these questions. It's hot. 1% controlled a lot, basically, thank you. Knowing this, we know that the marginal tax rate in particular whenever it's increased or decreased, it's going to effects effect. Excuse me, the tax revenue off the government. So if we are going to increase marginal tax rates than it's going to increase if we increase marginal tax rates, which I'm just abbreviating here with NPR, what's gonna happen is that we're gonna increase tax revenue, Bret, it's over. That is basically what's happening. So again, what we view so far logically speaking is that we know that when we're going from the top 1% controlling a lot, what's gonna happen is that when we increase the marginal tax rate, there will be a sub sequential increase in tax revenue of government now, knowing this were asked to reduce income and equality. So if you're increasing the tax revenue of government, what's gonna end up happening is that it's this money in this tax revenue. This new tax revenue for the government is going to be used on the lowest quintile so effectively it will help reduce income inequality. Thus, to answer the question, yes, you should increase the marginal tax rate because it will increase tax revenue of garment, which in turn will in fact, to reduce income inequality. If you guys enjoy this video explanation, please hit the light, but and next to it. I hope you all have a nice states and thank you for watching


Similar Solved Questions

5 answers
LayoutReferencesMailingsReviewViewHelpTell me21AaBbCcD AaBbCcD Normal 1No Spac_ParagraphName write formulas for the following compoundsCuSO;potasSum phosphiteCalcium oxalateBClaP4O1bromous aciddinitrogen pentoxideDeLLFBFOFOVFO
Layout References Mailings Review View Help Tell me 21 AaBbCcD AaBbCcD Normal 1No Spac_ Paragraph Name write formulas for the following compounds CuSO; potasSum phosphite Calcium oxalate BCla P4O1 bromous acid dinitrogen pentoxide DeLL FB FO FO V FO...
5 answers
Calculate the average rate of change of the given function over the given interval. Specify the unlts of measurement: (Assume Your answer to the nearest cent: ) Interval: [1, 5]Roundper monthCompany A's Stock Price ($)Dec Jan Feb Mar Apr May 2003 2004and
Calculate the average rate of change of the given function over the given interval. Specify the unlts of measurement: (Assume Your answer to the nearest cent: ) Interval: [1, 5] Round per month Company A's Stock Price ($) Dec Jan Feb Mar Apr May 2003 2004 and...
4 answers
Let Yi; ,Yn denote random sample from the pdf f(yle) = 20 exp (_y) ; 0 < y < 03 Find the method of moments estimator of 0.Find the maximum likelihood estimator of 0.Find the asymptotic variance of the MLE.
Let Yi; ,Yn denote random sample from the pdf f(yle) = 20 exp (_y) ; 0 < y < 03 Find the method of moments estimator of 0. Find the maximum likelihood estimator of 0. Find the asymptotic variance of the MLE....
5 answers
You have a set up that has a theoretical acceleration of 2.50 mls/s. If you know that your percent error is 5.00% and that your measurements always are smaller than your theoretical values: What is the expected value of your measurement?
You have a set up that has a theoretical acceleration of 2.50 mls/s. If you know that your percent error is 5.00% and that your measurements always are smaller than your theoretical values: What is the expected value of your measurement?...
5 answers
Suppose light travels from air into glass. Is its wavelength greater in the air or in the glass?
Suppose light travels from air into glass. Is its wavelength greater in the air or in the glass?...
5 answers
Starting from 1,3-dinitrobenzene and other available starting materials, provide an efficient synthesis of 3-fluorobenzonitrileCNOzN NOzm-fluorobenzonitrile
Starting from 1,3-dinitrobenzene and other available starting materials, provide an efficient synthesis of 3-fluorobenzonitrile CN OzN NOz m-fluorobenzonitrile...
5 answers
Use reduction of order to find second solution Yz(x) to y +4y-0if Yi(x) 02+a.Yzkx) 7e2x b.Yzkx) e ~2x cYz(x) x eZx d.Yz(x) = * e-2+
Use reduction of order to find second solution Yz(x) to y +4y-0 if Yi(x) 02+ a.Yzkx) 7e2x b.Yzkx) e ~2x cYz(x) x eZx d.Yz(x) = * e-2+...
5 answers
2 2 Question DNE (x) 8 lim #E 2 No correct Answer
2 2 Question DNE (x) 8 lim # E 2 No correct Answer...
5 answers
Which of the following reactions is catalyzed by enzymes? Groupof answer choices Caramelization Maillard browning Development ofgarlic flavor Oxymyoglobin → metmyoglobin
Which of the following reactions is catalyzed by enzymes? Group of answer choices Caramelization Maillard browning Development of garlic flavor Oxymyoglobin → metmyoglobin...
1 answers
In Exercises 19-42, use a graphing utility to graph the function. Be sure to choose an appropriate viewing window. $h(x) = \sqrt{x+2} + 3$
In Exercises 19-42, use a graphing utility to graph the function. Be sure to choose an appropriate viewing window. $h(x) = \sqrt{x+2} + 3$...
5 answers
Retumn t0 BlackboardS Halliday, Fundamentals of Physics 11emlemen _ 07;00Renalning;Reading Question 6.10When particeuniform circulan motlonthcre force component tangent to the particle'$ path?Cllck You wouldShow Work for thls questlon: Qpanshon Mork
Retumn t0 Blackboard S Halliday, Fundamentals of Physics 11e mlemen _ 07;00 Renalning; Reading Question 6.10 When partice uniform circulan motlon thcre force component tangent to the particle'$ path? Cllck You would Show Work for thls questlon: Qpanshon Mork...
5 answers
Exercise #6. (For EC +3 pts) Give recursive definition for the set B of all binary bit strings that do not contain two consecutive Os_
Exercise #6. (For EC +3 pts) Give recursive definition for the set B of all binary bit strings that do not contain two consecutive Os_...
5 answers
How are cholesterol levels regulated within a cell? Specifically, what are the 3 effects of free cholesterol within thecell?
How are cholesterol levels regulated within a cell? Specifically, what are the 3 effects of free cholesterol within the cell?...
5 answers
Findthe cosine transform of f (x) = {Nox 0 < x < N X>N (Note: Nis the biggest number from your MEC Id number)(10 marks)
Findthe cosine transform of f (x) = {Nox 0 < x < N X>N (Note: Nis the biggest number from your MEC Id number) (10 marks)...
5 answers
~aTeX: lint^0_{-3} frac{dxHIsqrt{9-x^2}}=ZaTeX: Ifrac{Ipi}4}|ZLaTeX: Ifrac{Ipi}{8}ZLaTeX: IpiZa TeX: Ifrac{Ipi}{2}
~aTeX: lint^0_{-3} frac{dxHIsqrt{9-x^2}}= ZaTeX: Ifrac{Ipi}4}| ZLaTeX: Ifrac{Ipi}{8} ZLaTeX: Ipi Za TeX: Ifrac{Ipi}{2}...
5 answers
Point) Hint: The derivative of a position function is a velocity function: The derivative of a velocity function is an acceleration function A particle moves along a straight Iine. The distance of the particle from the starting point at time t is given by the function: $ = t3 3t2 Find the value of t (other than 0 ) at which the acceleration is equal to zero_
point) Hint: The derivative of a position function is a velocity function: The derivative of a velocity function is an acceleration function A particle moves along a straight Iine. The distance of the particle from the starting point at time t is given by the function: $ = t3 3t2 Find the value of t...

-- 0.020015--