Bellford has a wide and persistent gap between the incomes of its highest-income and lowest-income households. A survey produced the following results.
| Household group | Disposable income spent | Young people unable to take an education or training course because their household could not afford it |
|---|---|---|
| Lowest-income fifth | 94% | 24% |
| Highest-income fifth | 61% | 4% |
State which household group is likely to save the greater proportion of its disposable income.
Using the information in the table, explain two ways in which the wide income gap could lower Bellford's total output.
64 exam-style questions on OCR GCSE Economics 3.3 Fair distribution of income, covering 3.3.1 Distribution of income and wealth, 3.3.2 Calculate income and wealth, and 3.3.3 Causes and consequences of income differences. Each one has a worked solution and a mark scheme showing where the marks go.