The Costs and Benefits of Inequality (HSC SSCE Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
What principle explains why redistribution increases total utility in society?
What principle explains why redistribution increases total utility in society?
Diminishing marginal utility
Why does high inequality reduce economic growth?
Why does high inequality reduce economic growth?
Low-income earners have higher MPC
By how much did rising inequality (1985-2005) reduce cumulative growth according to OECD research?
By how much did rising inequality (1985-2005) reduce cumulative growth according to OECD research?
4.7 per cent
What is conspicuous consumption?
What is conspicuous consumption?
Spending to display wealth and status
What creates a self-perpetuating poverty cycle?
What creates a self-perpetuating poverty cycle?
Limited access to education & networks
What social problem is associated with large class divisions?
What social problem is associated with large class divisions?
Higher levels of crime
How does inequality potentially benefit education levels?
How does inequality potentially benefit education levels?
Incentivizes investment in skills
How did wage differentials benefit Australian mining during the resources boom?
How did wage differentials benefit Australian mining during the resources boom?
Attracted workers to remote areas
Why does inequality encourage entrepreneurship?
Why does inequality encourage entrepreneurship?
High income prospects motivate risk
Which factor creates inequality of opportunity?
Which factor creates inequality of opportunity?
Inheritance and network access