Table 156 Table 156 Shows Income Distribution Data for Two Countries

Essay

Table 15.6
$\begin{array}{|c|c|c|}\hline \text { Income Quintile } & \begin{array}{c}\text { Agraria } \\\text { Percentage of Total } \\\text { Income }\end{array} & \begin{array}{c}\text { Urbana } \\\text { Percentage of Total } \\\text { Income }\end{array} \\\hline \text { Lowest 20\% } & 3 \% & 5 \% \\\hline \text { Second quintile } & 9 \% & 14 \% \\\hline \text { Third quintile } & 14 \% & 20 \% \\\hline \text { Fourth quintile } & 24 \% & 24 \% \\\hline \text { Highest 20\% } & 50 \% & 37 \% \\\hline\end{array}$
Table 15.6 shows income distribution data for two countries. Use this data to answer the following questions.
-Refer to Table 15.6.
a.Draw a Lorenz curve for each country.
b.Which country has the more equal distribution of income?
c.Based on the Lorenz curve for the two countries, can you determine which country has the more progressive tax system? Explain your answer.