Asked by Jason Fraser on Jun 20, 2024
Verified
The _____ identifies the level of income at which half of the households in the population earn more and half of the population earns less.
A) median household income
B) mean household income
C) poverty level
D) Gini coefficient
Median Household Income
The income of the household lying at the exact middle of the income distribution.
Poverty Level
An officially defined threshold of income that is considered insufficient to meet the basic needs of a household or individual, varying by country.
Income
Financial gains received regularly either from employment or investments.
- Comprehend the principle and utilization of the Gini coefficient in evaluating income disparity.
Verified Answer
SM
Sarah MarroquinJun 25, 2024
Final Answer :
A
Explanation :
The median household income is the exact point in the income distribution at which half of households earn more and half earn less. The mean household income is the average income across all households in the population and can be skewed by high earners. The poverty level is the income threshold below which a household is considered to be living in poverty. The Gini coefficient is a measure of income inequality across a population and does not specifically indicate the level of income at which half of households earn more or less.
Learning Objectives
- Comprehend the principle and utilization of the Gini coefficient in evaluating income disparity.