Income Inequality Use the World Income Database (at http://www.wid. world/\#Database) to find data about income inequality in France and the United Kingdom.

a. Find data about the top \(1 \%\) income earners' share of total income for the two countries between 1945 and 2012. What do you see? Can you find trends similar to what Figure 13-7 shows about the United States?

Figure 13-7

b. How would you explain cross-country differences in both the level and the evolution of income inequality over time, in terms of relative demand and supply of unskilled?

c. How would you explain cross-country differences in both the level and the evolution of income inequality over time, in terms of relative demand and supply of skilled workers?

d. Technological progress has been comparable in the two countries over the past six decades. What other factors may explain observable differences in income inequality in the two countries during that period?

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Percent 10 8 15 10 40 L P BETE Top 1% income share BRAUCA Top 5-10% income share Top 1-5% income share PayPa 2014 0 1913 1921 1929 1937 1945 1953 1961 1969 1977 1985 1993 2001 2009