Chart 3 Exercises

Chart 3.1 Income Distribution in Three Countries for Percentage of Households

1. Chart 3.1 shows the percentage of GNP earned by the richest 20 percent, middle 60 percent, and poorest 20 percent of a low-income, middle-income, and high-income country (actual percentages are given in the table above).

1. Compare the portion of GNP earned by the poorest 20 percent of each of the countries. How much difference is there between the countries?
2. In which country does the "middle class" get the largest percentage of income? How does this compare with the other two countries?
3. In which country does the wealthiest class receive the largest percentage of income? How does this compare with the other two countries?
4. Make a statement that describes the patterns of income distribution in these three countries.

2. Since national income tends to be closely related to quality of life indicators, what patterns would you expect to see in life expectancies, literacy rates, and access to safe water and sanitation among rich and poor people within nations?

Chart 3.2. Income Distribution in Three Countries for Percentage of Households
(with average income in dollars)

3. Look at Chart 3.2 to see the actual average per capita incomes for the richest, middle, and poorest groups of people in these three countries.

1. How does the average per capita income of the richest 20 percent of Tanzania compare with that of the poorest 20 percent of Morocco?
2. How does the average per capita income of the richest 20 percent of Morocco compare with that of the poorest 20 percent of the United Kingdom?
3. Based solely on average per capita income, it would appear that everyone, even the poor in the United Kingdom would have a better standard of living than people in Morocco or Tanzania. What factors would change that?