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A-Level Economics · Lorenz curve diagram question

Which point shows the share of total income going to the poorest 70% of the population BEFORE redistribution?

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The diagram

The answer

Point A. Straight up from 70% to the blue curve, then across: 30% of the income. The bottom 70% take under a third of it. Read the population share on the horizontal axis, go UP to the curve you were asked about, then ACROSS to the income axis. 70% of the population, blue curve, point A: 30% of the income.

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This is one of 6 questions on the lorenz curve diagram — every corner lettered, every wrong answer diagnosed.

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