3 Consider two communities. In one community, 10 families have incomes of $100 000 each and 10...

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3 Consider two communities. In one community, 10 families have incomes of $100 000 each and 10 families have incomes of $20 000 each. In the other community, 10 families have incomes of $200 000 each and 10 families have incomes of $22 000 each.

a In which community is the distribution of income more inequitable1 In which community is the problem of poverty likely to be worse?

b Which distribution of income would Rawls prefer? Explain.

c Which distribution of income do you prefer? Explain.

d Why might someone have the opposite preference?

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Principles Of Microeconomics

ISBN: 125206

8th Edition

Authors: Joshua Gans, Stephen King, Martin Byford, N Gregory Mankiw

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