The table below shows the share of income going to each quin…

The table below shows the share of income going to each quintile of the income distribution for Neverland in 1980 and 1990. Complete the table below finding the the cumulative share of income for 1980 and 1990 and answer the following:  Cumulative share of income for 1980 and 1990 Quintiles Share of income in 1980 Cumulative share of income in 1980 Share of income in 1990 Cumulative share of income in 1990 1st 7% 6.6.% 2nd 11.5% 11.5% 3rd 17% 16.3% 4th 24.8% 22.7% 5th 39.7% 42.9% Sketch the Perfect Equality line and the Lorenz curve for 1980 and for 1990. Don’t forget to label your graph and your curves! According to the Lorenz curves that you draw in (a), which year had worse income inequality, 1980 or 1990? Justify your answer!

The table below shows levels of employment (Labor), the marg…

The table below shows levels of employment (Labor), the marginal product at each of those levels, and the price at which the firm can sell output in a perfectly competitive market.  Value of the marginal product of labor Labor Marginal Product of Labor Price of the Product Value of the Marginal Product 1 7 $3 2 6 $3 3 5 $3 4 4 $3 5 3 $3 Complete the table finding the Value of the Marginal Product (show your work!). If the wage rate is $15, what is the firm’s profit maximizing level of employment? Justify your answer!