SOLVED

11) The distribution of income in the United States is skewed so that the mode level of household income is ________ the median household income and the median household income is ________ than the mean household income. A) less than; less than B) less than; greater than C) greater than; greater than D) greater than; less than 12) The income distribution in the United States is A) positively skewed. B) negatively skewed. C) bell-shaped D) uniform. 13) The distribution of U.S. income is not bell-shaped because there are A) there are more households with incomes below the mean income than above the mean income. B) there are more households with incomes above the mean income than below the mean income. C) the mode income equals the mean income. D) the income distribution is bell shaped. 14) In the United States, the percentage of households that have incomes below the mean income is A) 50 percent. B) less than 50 percent. C) more than 50 percent. D) 0 percent. 15) In the United States the richest 20 percent of households receive about ________ of total income. A) 10 percent B) 20 percent C) 50 percent D) 80 percent 16) In the United States the poorest 20 percent of households receive about ________ of total income. A) 1 percent B) 4 percent C) 10 percent D) 15 percent  Percent of households (percent) Percent of income (percent) Lowest 20 15 Second 20 15 Third 20 20 Fourth 20 20 Highest 20 30 17) An economy has the income shares information in the table above. Which of the following is true? A) The information in the table represents the income distribution in the United States. B) Income in the U.S. economy is more equally distributed than that represented in the table. C) Income in the U.S. economy is less equally distributed than that represented in the table. D) The information in the table represents the wealth distribution in the United States. 18) As a tool that is used to measure inequality in the distribution of income, the Lorenz curve graphs A) the cumulative percentage of income against the cumulative percentage of households. B) the percentage of total income received by each given percentage of households. C) the mean income, median income, and mode income against the percentage of households. D) the mean income received by households over time. 19) The Lorenz curve graphs the A) cumulative percentage of spending against the cumulative percentage of households. B) marginal percentage of income against the marginal percentage of households. C) cumulative percentage of income against the cumulative percentage of households. D) cumulative percentage of spending against the marginal percentage of households. 20) A Lorenz curve graphs the A) percentage of income or wealth against the percentage of households. B) cumulative percentage of income or wealth against the cumulative percentage of households. C) cumulative value of income against the cumulative percentage of households. D) percentage of wealth against the percentage of income.