alleryWhy can the mean of incomes miss the idea of a middle income?
AIncomes cannot be summed
BThe mode is always zero
CThe median is always larger
DA few huge incomes lift it
Answer & Solution
Correct answer: D. A few huge incomes lift it
1. Income data is skewed: a few people earn far more than most.
2. Those large values raise the sum, and so the mean.
3. The mean then sits above what most people actually earn.
Incomes can certainly be added, and the median and mode have no fixed relation like always larger or zero.
_Source: Wikipedia, Arithmetic mean, lead section_
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