Question

The lorenz curve shows the relationship between_____________.

• A. asset creation and income generation.
• B. population groups and their respective income shares.
• C. unemployment and inflation.
• D. wages, labor hours and leisure.

Answer 1

The correct option is B population groups and their respective income shares.

Lorenz curve is the graphical representation that shows the relationship between the different population groups of the world with their respective income share assuming that income is unevenly distributed.