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Law of Distribution by Pareto

“Law of Distribution” given by Vilfredo Pareto asserts that the: (w) relative prices for goods reflect how intensively labor is used as an input. (x) the percentages of national income going to labor and to capital is a constant. (y) distribution of income gravitates toward a consistent degree of relative inequality due to differing work ethics, attitudes, and willpower. (z) share of corporate profit paid to professional managers determines how quickly a country industrializes.

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