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3 answers

Your question does not contain enough information for a intelligent answer, what distribution chain, what country, labor intensive or capital intensive, what is contained in each quintiles.

2007-01-10 07:28:33 · answer #1 · answered by Mr. DC Economist 5 · 1 0

This is bad, unless you belong to the top quintile. Aggregate prices will rise all across the consumer economy, but the inflationary effects of each average rise in prices will be felt most painfully in the bottom 2 quintiles. That is where the standard of living will fall due to incomes not keeping up the inflationary pressures driven by the top quintile.

2007-01-10 15:58:51 · answer #2 · answered by correrafan 7 · 0 0

This depends fistly if you mean a money rise in incomes and weath or a real rise. If it is just a money rise and prices are rising at the same speed then only the top few are actually better off.
If you mean a real rise in incomes and wealth ie an increase in the purchasing power of peoples income and wealth then this generally be seen as a good thing. However some people might disagree becasue even though everybody is better off they view an increase in the disparity of income as a bad thing which may outway the benefits of the increases in income and wealth.

2007-01-12 02:39:34 · answer #3 · answered by Anonymous · 0 0

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