Reference no: EM132961747
Research Assignment: Relative incomes and inequality
(a) "GDP per capita (constant 2010 US$)", selected country and Canada, years 2000 to 2020
Per capita income in Canada grew from approximately $40,000 in 2000 to approximately $50,000 in 2019/2020 (but be aware that these are in constant 2010 US$, not in current Canadian dollars, because we want to be able to compare between countries and over time).
i. How does the level of income per capita in your selected country compare to income per capita in Canada?
Now delete Canada from the graph:
ii. Has there been much growth (or decline) in per capita income in your selected country since 2000?
(b) "GDP per capita growth (annual %)", selected country and Canada, years 2000 to 2020
World Bank database:
Focus on fluctuations: less than zero % growth (recession) and growth spurts (a few years of strong growth). You do not need to highlight growth rates of around 0% to 3%.
i. Are there any notable differences between your selected country and Canada's history of economic growth (per capita) since 2000? For instance: Canada's improving growth rate in the early/mid 2000's; its recession in 2009; low growth in the 2010's (0% to 2%); dramatic fall in 2020.
(c) Income inequality, share of income, selected country and Canada
"Top 10% national income share"
World Inequality database:
o Select ‘World View'
o Click on the ‘up arrow' to remove the map of the world
o Click "clear" to remove all the countries that are automatically included in the graph
o Click on "COUNTRY & REGION", then on "Countries"
o Select your country, and Canada
o Click on the "X" beside ‘World', to remove that line from the graph
o Move the slider to set the years from 2000, to the most recent
You should now have a graph with two lines (Canada and your selected country), which show "Top 10% national income share".
i. Very approximately (because the data underlying these graphs are weak), how does inequality - as measured by the share of national income going to the top 10% of the population - compare between your selected country and Canada?
ii. The top 10% national income share in Canada has been fairly constant in the past 20 years (allowing for unreliable data). Has it varied much in your selected country?
iii. High and increasing inequality could point to future social, political economic problems for a country; do you see risks to future stability in your selected country, which might be of concern to a Canadian financial manager considering investing in the country?
Attachment:- Research Assignment Instructions 6.rar