Trade unions — practice question

The estimated turning point on the Kuznets Curve for income inequality is about US $10 500. For a country with a GDP per capita of $8000, which is most likely?

• AA reduction in GDP per capita will have no effect on income inequality.
• BA reduction in GDP per capita will increase income inequality.
• CAn increase in GDP per capita will have no effect on income inequality.
• DAn increase in GDP per capita will increase income inequality.