This is an individual work assessment (1,800 words equivalent), marked out of 40 = 20 marks x 2 questions. You are required to prepare
This is an individual work assessment (1,800 words equivalent), marked out of 40 = 20 marks x 2 questions. You are required to prepare your answers by yourself. Answer the following two Questions. Question 1. A government advisor found that the most recent Gini coefficient of her country is as high as 0.87 while the poverty head count ratio is as low as 0.06 in the same year. a) What are the Gini coefficient and the poverty head count ratio? (4 x 2) Describe her country's situation, based on those two statistics. (4) b) c) Does the low value of the poverty head count ratio suggest that poverty is not an important problem in the country? Elaborate on your yes/no answer. (8) Question 2. Explain the story about the Mekong river that you read in Week 9, using the theory of externality. (20)
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