Which of the following is a source of inequality in incomes?

Question

Quizplus · Accepted Answer

All three options contribute to inequality in incomes. Luck plays a significant role in determining a person's income, as some people are born into wealth or inherit it, while others face hardships such as illness or being born into poverty. Willingness to take risks can often lead to higher incomes, as entrepreneurs and investors who take risks can benefit from greater rewards if their endeavors are successful. Differences in investment in human capital, such as education and job training, can also lead to inequality in incomes since those who invest more tend to earn more.

Which of the Following Is a Source of Inequality in Incomes