Why do scholars argue that government activity should be considered when evaluating the measured income distribution?

Question

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Scholars argue that government activity should be considered when evaluating the measured income distribution because government policies and subsidies can have a significant impact on the distribution of income. For example, government-subsidized airports, operas, and museums primarily benefit the middle-income and higher-income quintiles, which can skew the measured income distribution towards higher levels of inequality.

Why Do Scholars Argue That Government Activity Should Be Considered