The principle that suggests that the distribution of income should be based on the contribution made by individuals to society's total output is known as
Part 2
A.
the productivity standard.
B.
the functional distribution of income.
C.
the egalitarian principle.
D.
the relative poverty standard
B. the functional distribution of income.
wrong answer
I apologize for the incorrect response. The correct answer is A. the productivity standard.
The productivity standard fails to yield an equal distribution of income because
Part 4
A.
it is difficult to measure productivity accurately.
B.
individuals have different abilities and skills.
C.
diminishing marginal productivity holds.
D.
richer countries have higher productivity than poorer countries.