How is the answer here b for the below question? Don't you have to compare differential sets of income to understand income inequality. I do get it that 'rich getting richer..' is a flow variable so we need to check different period of time, but the importance of understanding different income sets is equally important. Any input is highly appreciated.
To know whether the rich are getting richer and the poor getting poorer, it is necessary to compare:
a) the wholesale price index over different periods of time for different regions.
b) the distribution of income of an identical set of income recipients in different periods of time.
c) the distribution of income of different sets of income recipients at a point in time.
d) the availability of food grains among two sets of people, one rich and the other poor, over different periods of time.
