To figure this out we can partition our data into income quantiles (a quantile has the propriety of dividing the data into partitions of equal size, that’s why I like them). Then, for each income quantile, let’s compute the average net value. The hope here is that, although the average net value in negative, , there might be some subpopulation defined by income where the net value is positive, SEE EQUATION BELOW, probably, higher income levels.
Specifically, the inequality should be the other way in this equation:
There is a typo in this paragraph:
Specifically, the inequality should be the other way in this equation: