Exhibit 12-4 Lorenz curve
-As shown in Exhibit 12-4, 40 percent of families earned a cumulative share of about ____ percent of income.

Question

Exhibit 12-4 Lorenz curve 
-As shown in Exhibit 12-4, 40 percent of families earned a cumulative share of about ____ percent of income.

Quizplus · Accepted Answer

The question refers to a Lorenz curve, which typically shows the distribution of income. If 40% of families earn a cumulative share of about 15% of income, it indicates income inequality, where a small percentage of families earn a large portion of the total income.

Exhibit 12-4 Lorenz Curve