Consider two hypothetical developing countries,both with very low incomes at similar levels.Country A has a very even distribution of income.Nearly everyone in country A has a similar income.Country B has great variation in income.A small percentage of persons in country B would be classed as middle class,and a smaller number as wealthy,by the standards of developed nations.All other things equal,which of these countries has more potential for development?

Question

Quizplus · Accepted Answer

The Answer of Consider two hypothetical developing countries,both with very low incomes at similar levels.Country A has a very even distribution of income.Nearly everyone in country A has a similar income.Country B has great variation in income.A small percentage of persons in country B would be classed as middle class,and a smaller number as wealthy,by the standards of developed nations.All other things equal,which of these countries has more potential for development?

Consider Two Hypothetical Developing Countries,both with Very Low Incomes at Similar