Given below are two statements:
Statement I: According to the World Inequality Report 2022, in India the top 1% of the population hold more than one-fifth of the total income in 2021 and bottom half just 13%
Statement II: According to the World Inequality Report 2022, in India female labour income share is equal to 18% which is significantly lower than the average in Asia.
In the light of above statements, choose the most appropriate answer from the options given below:
Answer & explanation
Correct answer: option 1
The correct answer is Option (1) → Both Statement I and Statement II are true
The World Inequality Report 2022, prepared by the World Inequality Lab, shows India as one of the most unequal countries in the world in income.
Statement I: According to the World Inequality Report 2022, in India the top 1% of the population hold more than one-fifth of the total income in 2021 and bottom half just 13% Correct. The report gives the top 1% about 22% of the national income in 2021, which is more than one-fifth, while the bottom 50% earn only 13%; the top 10% hold 57%.
Statement II: According to the World Inequality Report 2022, in India female labour income share is equal to 18% which is significantly lower than the average in Asia. Correct. Women earn 18% of the total labour income in India, against an average of about 21% in Asia (excluding China), one of the lowest shares in the world.