Economics · Development Economics
According to Simon Kuznets, the long-run relationship between per capita income and income inequality (the Kuznets Hypothesis) is characterized as:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1an inverted U-shaped relationship (first increasing, then decreasing).✓
- 2no relationship whatsoever.
- 3a strictly decreasing linear relationship.
- 4a strictly increasing linear relationship.
Correct answer
an inverted U-shaped relationship (first increasing, then decreasing).
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