1.The following income distribution data are for a country.

Quintile Percent Share

Lowest 20% 3.0%

Second quintile 6.9%

Third quintile 11.8%

Fourth quintile18.0%

Highest 20% 60.3%

Highest 10% 43.0%

(a)What is the cumulative distribution by quintiles.

(b)The above country's national income is about $300 billion. What is the approximate dollar income of the bottom 20%? Bottom 40%?

2.What is a Lorenz curve? Draw one (rough sketch), labeling the axes.Illustrate the calculation of the Gini coefficient...labelling the appropriate areas.