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Mathematics, 05.05.2020 19:34 pinbunny70
Suppose that all the people in a country are ranked according to their incomes, starting at the bottom. Let x represent the fraction of the community making the lowest income (0 less than or equals x less than or equals 1 ); x equals 0.4, therefore, represents the lower 40% of all income producers. Let I(x) represent the proportion of the total income earned by the lowest x of all people. Thus, I(0.4) represents the fraction of total income earned by the lowest 40% of the population. The curve described by this function is known as a Lorenz curve. Suppose Upper I (x )equals 0.94 x squared plus 0.06 x. Find and interpret (0.1).
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