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Besides size of per capita income, what other property of income is important in comparing two or more societies?

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Important Question, Class 10, CBSE SOCIAL SCIENCE,
Economics Chapter: 1 Development
Question No. 3. Page No. 9
NCERT Solutions for Class 10 Social Science
CBSE Class 10 Economics 2023-2024

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  1. Here are the key points about the importance of income distribution when comparing societies:

    1. Equality vs. Inequality: Income distribution reflects how evenly or unevenly income is shared among individuals or households within a society.

    2. Impact on Social Cohesion: A more equal distribution of income often leads to greater social cohesion and harmony, fostering a sense of inclusivity and reducing social tensions.

    3. Economic Stability: Fair income distribution can contribute to economic stability by reducing disparities that might lead to social unrest or economic imbalances.

    4. Access to Opportunities: Unequal income distribution can limit access to opportunities such as education, healthcare, and economic advancement for lower-income groups.

    5. Poverty and Social Issues: A more unequal distribution of income can exacerbate poverty levels and contribute to various social issues, including crime rates and health disparities.

    6. Economic Growth: Excessive income inequality can hinder overall economic growth by limiting the purchasing power of a large section of the population.

    7. Policy Implications: Governments may need to implement policies aimed at redistributing wealth or providing support to lower-income groups to address income inequality.

    Understanding and addressing income distribution is essential for creating more balanced and inclusive societies, ensuring that wealth and opportunities are accessible to a larger portion of the population.

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