Wealth is generally less equally distributed than income. This means that the differences in wealth between the richest and poorest are greater than the differences in income. This disparity in wealth distribution tends to increase income inequality because those with more wealth often have more means to generate additional income, further widening the gap.

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Which Is Correct

Question 105

Multiple Choice

Which is correct?

A) Wealth is less equally distributed than income and therefore increases income inequality.
B) Wealth is more equally distributed than income and therefore increases income inequality.
C) Wealth is less equally distributed than income and therefore decreases income inequality.
D) Wealth is more equally distributed than income and therefore decreases income inequality.

Correct Answer: