Regression toward the mean is captured by which of the following?
A)The tendency for inequality to be wider as a country experiences economic growth.
B)The tendency for countries to diverge in their inequality.
C)The tendency for income differences across families to get smaller over time as the various families move toward the mean income of the population.
D)The tendency for the 90-50 wage gap to approach the 50-10 wage gap as a country experiences economic growth.
E)The tendency for the tax code to erode inequality by targeting the mean tax rate to mean income.

Question

Quizplus · Accepted Answer

Regression toward the mean refers to the statistical phenomenon where extreme values in a population, such as very high or very low incomes, tend to move closer to the population mean over time. Choice C captures this tendency in the context of income differences across families getting smaller over time as families move toward the mean income of the population. The other choices do not directly relate to regression toward the mean.

Regression Toward the Mean Is Captured by Which of the Following