Assume that less skilled workers are in the lower half of earnings.Which of the following events would cause the 80:20 ratio of incomes to go from 2.0 to 3.0?

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A relative decrease in the demand for unskilled workers would cause the wages of less skilled workers to decrease, while the wages of more skilled workers may remain the same or increase. This would widen the income gap and increase the 80:20 ratio to 3.0. The other options would either increase everyone's earnings equally (A), or have unclear effects on the income distribution (B, D).

Assume That Less Skilled Workers Are in the Lower Half