Suppose that in a certain society $10,000 is the official cut-off of income for the poor. This means that any person making less than $10,000 is considered poor. Suppose further that there are three people in this society: Randy, Marlon, and Tito, with incomes of $9,900, $9,900, and $5,000, respectively.
a) How much income would it take, on average, to lift every poor person out of poverty?
b) What if some policy caused $200 to be taken from Tito and given to Randy. How much income would it take, on average, to lift every poor person out of poverty?