logging in or signing up poverty Ming Download Post to : URL : Related Presentations : Let's Connect Share Add to Flag Embed Email Send to Blogs and Networks Add to Channel Copy embed code: Embed: Flash iPad Dynamic Copy Does not support media & animations Automatically changes to Flash or non-Flash embed WordPress Embed Customize Embed URL: Copy Thumbnail: Copy The presentation is successfully added In Your Favorites. Views: 11141 Category: Entertainment License: All Rights Reserved Like it (6) Dislike it (1) Added: November 29, 2007 This Presentation is Public Favorites: 2 Presentation Description No description available. Comments Posting comment... By: siddharthraja (30 month(s) ago) i want to download please Saving..... Post Reply Close Saving..... Edit Comment Close By: yogesh_viii (30 month(s) ago) please let us download Saving..... Post Reply Close Saving..... Edit Comment Close By: nikicute (36 month(s) ago) plzzzz let me download this plzzzzzzz Saving..... Post Reply Close Saving..... Edit Comment Close By: nikicute (36 month(s) ago) can u plzz let me download this ppt becoz i need for my presentation in clg plzzzzzzzzzzz Saving..... Post Reply Close Saving..... Edit Comment Close By: sulaiman_yassin (42 month(s) ago) A very useful presentation. perhaps, an additional slide on the Gini Coefficient would help. Saving..... Post Reply Close Saving..... Edit Comment Close Premium member Presentation Transcript Income and Wealth Distribution: Income and Wealth DistributionIncome and Wealth Distribution: Income and Wealth DistributionPoverty: PovertyPoverty: Poverty Absolute Poverty: A situation where individuals do not have access to the basic requirements of life – food, shelter, clothing. Relative Poverty: A situation where individuals are excluded from being able to take part in what are considered the normal, acceptable standards of living in a society.Poverty: Poverty Difficulties of drawing the line between those ‘in poverty’ and those outside. What do we mean by food, clothing and shelter? Is living in a sewer a form of shelter? Does having some clothing mean that you are not experiencing absolute poverty? Poverty: Poverty In the UK – low income threshold – 60% of the median income. This means 12.5 million people living below this level – a poverty line? Links between ‘low pay’/poverty line and health, crime, education levels, social problems. The latter also represents a significant ‘social cost’ (negative externality) to the government Poverty Trap: Poverty Trap Where those on the poverty line may not benefit from getting paid work – they might be better off staying on benefits! e.g. Family, three children, without work, income = £120 in benefits of various sorts. One parent gets a job earning £140 but after tax and national insurance has a take home pay of £110!Measurements: MeasurementsMeasurements of Income Distribution: Measurements of Income Distribution Lorenz Curve: A curve showing the proportion of national income earned by a given percentage of the population. e.g what proportion of national income is earned by the top 10% of the population? Lorenz Curve: Lorenz Curve % of National Income Percentage of Population This line represents the situation if income was distributed equally. The poorest 10% would earn 10% of national income, the poorest 30% would earn 30% of national income. 10% 10% 30% 30%Slide11: Lorenz Curve % of National Income Percentage of Population The Lorenz Curve will show the extent to which equality exists. The greater the gap between the line of equality and the curve the greater the degree of inequality. 30% 20% In this example, the poorest 30% of the population earn 20% of the national income. 7% In this second example, the Lorenz curve lies further below the line of equality. Now, the poorest 30% only earn 7% of the national income.Gini Coefficient: Gini Coefficient Enables more precise comparison of Lorenz Curves The proportion of the area taken up by the Lorenz Curve in relation to the overall area under the line of equality Gini Coefficient: Gini Coefficient % of National Income Percentage of Population The area bounded by the Lorenz CurveWealth: WealthWealth: Wealth A STOCK as opposed to income which represents a FLOW Measures wealth at a point in time Wealth can be measured by reference to type of asset representing the stock.Types of Asset: Types of Asset Shares Houses Bank deposits Land Building Society Accounts Currency holdings Buildings Machinery and Equipment Gold Etc. We are considerably richer than you! Title: The Fullers. Copyright: Getty Images available from Education Image GalleryIncome Distribution: Income Distribution Income represents a FLOW £x per week, month, year, etc. Income can be in the form of: Wages Rents Dividends Interest Pensions Benefit payments Income from self employment InheritanceIncome Distribution: Income Distribution Income can be earned income (from employment, etc.) or Unearned income – inheritance, benefit payments, pensions, etc.Income Distribution: Income DistributionRedistribution of Income: Redistribution of IncomeTaxation: Taxation Costs Market Distortion Administrative Costs Incentives May not impact because some will not be paying tax Can be avoided May not be targeted at those who need the help Benefits Reduction in poverty levels Can be used to provide incentives Legislation: Legislation Minimum Wage – targets those on ‘low wages’ but what is the right level? Discrimination – reducing the impact of racial, sexual and disabled incidences of discrimination Regulation – Employment related regulationEquity: EquityCauses of Inequality: Causes of Inequality Individual NationalIndividual: Individual Ownership of resources – housing, land, etc. Qualifications Motivation Skills Ability Family sizeNational: National Factor endowments (land, labour, capital) Size and quality of labour force Climate Stage of economic development Economic Power – ability to be able to dictate terms with suppliers, buyers, etc. You do not have the permission to view this presentation. In order to view it, please contact the author of the presentation.