1. In this question, we will consider the specic numbers that show changes in the US distribution of income and wealth. a. The Gini ratio is a measure of the distribution of income across a population. A higher Gini ratio indicates greater inequality, with high-income individuals receiving larger shares of the total income of the population. Consider the graph in the LMS of the Gini ratio in the US from 1967 to the present. Describe the trend of the Gini ratio. What was its value in 1967? What is its value now? Describe the direction of the Gini ratio from 1967 to the present was it continually moving in the same direction? Were there dramatic changes at some times, or was the trend a more-gradual one? b. Consider the graph in the LMS of the Distribution of Wealth in the US from 1989 to the present. What general conclusion do you draw from the graph? What specic changes occurred in the share of Total Net Worth held by the Top 1% (the very wealthiest Americans)? What specic changes occurred in the share of Total Net Worth held by the 50'h to 90'h wealth percentiles (roughly, Americans in the middle to upper-middle classes)? What Specic changes occurred in the share of Total Net Worth held by the bottom 50% (the half of Americans with the least wealth)? 2. A number of politicians (for example, Vermont Senator Bernie Sanders and New York Congresswoman Alexandria Ocasio-Cortez, known informally as AOC) have been increasingly outspoken about what they perceive to be a dangerously unequal distribution of income. Representative Ocasio-Cortez was challenged on Twitter to identify her ideal distribution of income: \"What, precisely, is the correct level of income inequality for you, @AOC? Is there a distribution you are shooting for? Should everyone be equal?\" What do you think is the correct level of income inequality? Should there be no income inequality (that is, everyone has the same income)? If not, then how much income inequality should 117D I'IO'I'TD') TI1H+;'I:IY 11n111' l'l'l'if'1111\" Uni-IF nncx-rnv MIIK'l' Inn 6