Below is a table representing the percentage share of money income for households before direct taxes in the U.S. for 1975 and 2005. 100- Income Group 2005 1975 Lowest fifth 4 4 Second fifth 9 11 Third fifth 14 17 Fourth fifth Highest fifth 21 52 25 43 1.) Using the 4-point curved line drawing tool, draw the Lorenz curve for 2005, starting at (0,0) and then using the bold faced data to plot the remaining three points. Properly label your curve. 2.) Using the 4-point curved line drawing tool, draw the Lorenz curve for 1975, starting at (0,0) and then using the bold faced data to plot the remaining three points. Properly label your curve. Carefully follow the instructions above, and only draw the required objects. Cumulative % of Money income Q 90- a 80- G 70- 60- 50- 40- 30- 20- 10- 10 20 30 40 50 60 70 80 90 100 Cumulative % of Households

Below is a table representing the percentage share of money income for households before direct taxes in the U.S. for 1975 and 2005. 100- Income Group 2005 1975 Lowest fifth 4 4 Second fifth 9 11 Third fifth 14 17 Fourth fifth Highest fifth 21 52 25 43 1.) Using the 4-point curved line drawing tool, draw the Lorenz curve for 2005, starting at (0,0) and then using the bold faced data to plot the remaining three points. Properly label your curve. 2.) Using the 4-point curved line drawing tool, draw the Lorenz curve for 1975, starting at (0,0) and then using the bold faced data to plot the remaining three points. Properly label your curve. Carefully follow the instructions above, and only draw the required objects. Cumulative % of Money income Q 90- a 80- G 70- 60- 50- 40- 30- 20- 10- 10 20 30 40 50 60 70 80 90 100 Cumulative % of Households

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter15: Poverty And Economic Inequality

Section: Chapter Questions

Problem 47P: A group of 10 people have the following annual incomes:...

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