ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Equitable distribution of income means that income is distributed in a way that ensures fairness and allows everyone to have the same opportunities. Equitable distribution of income doesn’t mean that income is distributed equally; it just means that income is distributed in a fair way.

Detailed explanation-2: -Equity in economics is defined as the process to be fair in an economy that can range from the concept of taxation to welfare in the economy. It also means how the income and opportunity among people are evenly distributed.

Detailed explanation-3: -Income inequality is how unevenly income is distributed throughout a population. The less equal the distribution, the higher income inequality is. Income inequality is often accompanied by wealth inequality, which is the uneven distribution of wealth.

Detailed explanation-4: -The main factors influencing the distribution of wealth include capital gains benefit, private pension assets, inheritance, and the difference in tax between income and wealth.

Detailed explanation-5: -Equitable distribution of resources provides equal rights to all sections of society (rich and poor) to access these resources. It prevents the division of society and accumulation of resources in the hands of a few persons. It helps to maintain the continuous flow of resources so that everyone can get their share.