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Author Question: Both Amy and Tom are trained as nurses. Amy makes $35,000 a year working as a nurse in an emergency ... (Read 37 times)

ec501234

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Question 1

A Gini coefficient of one means that


◦ income is distributed equally.
◦ one family has all the income and everyone else has nothing.
◦ all the income is received by the top 20% of families.
◦ the income is split equally between the top 20% and the rest of the distribution.

Question 2

Both Amy and Tom are trained as nurses. Amy makes $35,000 a year working as a nurse in an emergency room in a New York City hospital. Tom makes $20,000 working as a community health nurse in New York City. Which of the following is 
true?


◦ Tom is clearly worse off than Amy, because he earns $15,000 a year less.
◦ Tom must be better off than Amy if he is willing to take a job at $15,000 a year less than Amy.
◦ From this information it cannot be determined who is better off because income is an imperfect measure of well-being.
◦ Even though income is an imperfect measure of well-being, Amy and Tom must be equally well off because either is free to switch jobs.


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Marked as best answer by ec501234 on Apr 19, 2019

Cnarkel

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ec501234

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Reply 2 on: Apr 19, 2019
YES! Correct, THANKS for helping me on my review


pangili4

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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