Answer to Question #284837 in Economics for Disha

Question

Indicate whether the given statement is true(T) or false(F).

7. With modern sector enlargement growth, inequality is likely to rise first and   then fall. 

 

8. Unlike Gini coefficient, the coefficient of variation is affected by the unit of measurement. 

 

9 If the area between the line of perfect income equality and the Lorenz curve 

is A, and the area under the Lorenz curve is B, then the Gini coefficient is A/(A+B). 

 

10. Eradication of absolute poverty is achievable but it is not possible to eliminate relative poverty. 

 

11. The higher is Kuznet’s ratio, the lower is the degree of inequality between high-and low-come groups in a country. 

 

12. Poverty is better studied with size distribution measures than those based on factor distribution.

 

13. With modern sector enrichment growth, inequality will unambiguously fall. 

 

14. Absolute poverty line is set based on purchasing power parity method that considers local price level. 

 

 

 

Answer 1

7.False.

8.True

9.True

10.False

11.True

12.False

13.False

14.True