ECONOMICS
INCOME DISTRIBUTION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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People who earn the most, spend the least
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People who earn the least, save the most
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People who earn the most spend their income on investments
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People who earn the least buy lots of assets
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Detailed explanation-1: -Differences in the types of jobs undertaken by men and women and an uneven distribution of caring and unpaid work are among explanations offered for this gap, together with time spent away from the labour market associated with having children.
Detailed explanation-2: -Some of key factors behind the increase in within-country income inequality noted in the literature include technological progress, globalization, commodity price cycles, and domestic economic policies such as redistributive fiscal policies, labor and product market policies.
Detailed explanation-3: -The inequality someone experiences in the UK is very commonly dictated by their parents’ wealth. People born into rich families were an average six times richer than those from poorer backgrounds by the time they reached their thirties, analysis by the Institute for Fiscal Studies (IFS) showed.
Detailed explanation-4: -GB Wealth Inequality In 2020, the ONS calculated that the richest 10% of households hold 43% of all wealth. The poorest 50%, by contrast, own just 9%. More than that, for the UK as a whole, the WID found that the top 0.1% had share of total wealth double between 1984 and 2013, reaching 9%.