Recall the Application About the Relationship Between Economic Growth and Income

Recall the Application about the relationship between economic growth and income inequality to answer
the following question(s) . In the United States, inequality-as measured by the income share of the top 10
percent of families-increased from 40 percent at the beginning of the 1920s to 45 percent through the end
of the Great Depression. The share fell to 32 percent by 1944 and did not begin to increase again until the
early 1970s.
-According to this Application, compared to pre-war levels of inequality, wage and price controls during World War II decreased differentials in wages and salaries, and thereby _______ inequality.

A) increased
B) eliminated
C) reduced
D) did not change