Test Your Knowledge on Income Inequality This quiz will test your understanding of income inequality and its implications on society and the economy. rihanna80 published on August 02 Stacked 1/10 What is income inequality? Equal distribution of income among individuals Uneven distribution of income among individuals Lack of income among individuals Income earned from illegal activities 2/10 Which country has the highest income inequality? Norway South Africa Switzerland Canada 3/10 What is a Gini coefficient used for in relation to income inequality? Measuring income inequality Calculating average income Determining tax rates Estimating population growth 4/10 Which economic theory suggests that income inequality is a natural outcome of the market economy? Socialism Capitalism Communism Fascism 5/10 What is one potential negative impact of income inequality on society? Increased crime rates Higher levels of education Improved healthcare access Enhanced social mobility 6/10 How does income inequality affect economic growth? Stimulates growth in all sectors Encourages innovation and entrepreneurship Can hinder long-term growth Leads to lower unemployment rates 7/10 What percentage of global wealth is owned by the top 1% of individuals? 5% 45% 20% 65% 8/10 Which social factor is closely tied to income inequality? Family size Education levels Favorite color Music preference 9/10 What is a possible solution to address income inequality? Decreasing funding for education Implementing progressive tax policies Reducing access to healthcare Removing social safety nets 10/10 Which demographic group is often impacted the most by income inequality? Retired individuals Low-income earners High-skilled workers Politicians