Question 1

The percent of population that experiences transient poverty at some point in their lives is:

Accepted Answer

A)  more than 25 percent.
B)  less than 10 percent.
C)  approximately 12 percent.
D)  approximately 40 percent.E) None of the above
F) A) and D)

Question 2

Unemployment insurance pools risk across __________,and Social Security and Medicare pool risk across __________

Accepted Answer

A)  the labor force;time.
B)  time;the labor force.
C)  the labor force;all retired people.
D)  time;age.E) None of the above
F) A) and C)

Question 3

In the last few decades,income inequality in the United States has ___________ mostly because of the ____________

Accepted Answer

A)  increased;gains by the rich.
B)  increased;stagnation of the rich.
C)  decreased;gains by the poor.
D)  decreased;stagnation by the economy in general.E) All of the above
F) C) and D)

Question 4

The poverty rate dropped from 84 percent in 1981 to 13 percent in 2008 in what country?

Accepted Answer

A)  China
B)  Chile
C)  South Africa
D)  IndiaE) None of the above
F) All of the above

Question 5

Those who are considered the transient poor are defined as those who spend:

Accepted Answer

A)  at least two consecutive months within a year in poverty.
B)  three or more years in poverty.
C)  two or more years in poverty.
D)  at least six consecutive months within a year in poverty.E) C) and D)
F) A) and D)

Question 6

Differences in earnings between racial groups is due in part from differences in:

Accepted Answer

A)  educational attainment.
B)  ability to achieve.
C)  geographical location.
D)  None of these is true.E) A) and B)
F) B) and C)

Question 7

Incomes for adults vary widely across race and gender in the United States.These differences could be due to:

Accepted Answer

A)  education.
B)  experience.
C)  choice of occupation.
D)  All of these can explain the differences.E) A) and B)
F) All of the above

Question 8

Once active discrimination ends,it:

Accepted Answer

A)  can have long-lasting effects on people and markets.
B)  no longer affects people or markets.
C)  is quickly forgotten,and efficiency is reached.
D)  None of these is true.E) A) and C)
F) B) and D)

Question 9

In situations where businesses discriminate in response to the preferences of consumers,discrimination:

Accepted Answer

A)  is consistent with efficient markets.
B)  will be eliminated by the market.
C)  will not persist even though it's what the customers want.
D)  is not consistent with efficient markets.E) A) and B)
F) A) and C)

Question 10

A perfectly straight Lorenz curve would mean:

Accepted Answer

A)  perfect equality,and it does not exist in the real world.
B)  perfect inequality,and it does not exist in the real world.
C)  perfect equality,and is more common among the wealthy,developed nations.
D)  perfect inequality,and is more common among the developing nations.E) B) and C)
F) A) and D)

Question 11

Which of the following countries has experienced increasing inequality in recent decades?

Accepted Answer

A)  Poor countries
B)  Rich countries
C)  Countries with low economic growth
D)  All of these have experienced increasing inequality.E) A) and C)
F) A) and D)

Question 12

Between 1960 and 1995,Social Security benefits:

Accepted Answer

A)  decreased from 35 percent down to 10 percent.
B)  increased from 10 percent to 35 percent.
C)  increased,decreasing the poverty rate among the elderly from 35 percent down to 10 percent.
D)  decreased,increasing the poverty rate among the elderly from 10 percent to 35 percent.E) A) and D)
F) A) and C)

Question 13

Communitywide poverty:

Accepted Answer

A)  creates problems beyond those faced by individuals.
B)  is nonexistent in the developed world.
C)  helps individual poverty.
D)  None of these is true.E) All of the above
F) C) and D)

Question 14

Because the U.S.poverty line is an absolute measure rather than a relative one,the official U.S.poverty rate:

Accepted Answer

A)  fell steadily when there was economic growth that raised the incomes of low-income families.
B)  increased steadily when there was economic growth that raised the incomes of low-income families.
C)  fell steadily when there was economic growth that caused inequality to grow among the population.
D)  increased steadily when there was economic growth that caused inequality to decline across the population.E) All of the above
F) C) and D)

Question 15

The greatest number of people who live on $1.25 a day live in:

Accepted Answer

A)  South Asia.
B)  China.
C)  sub-Saharan Africa.
D)  None of these is true.E) A) and C)
F) A) and B)

Question 16

The Lorenz curve demonstrates:

Accepted Answer

A)  inequality visually;the more linear the curve,the less inequality exists.
B)  inequality visually;the more linear the curve,the more inequality exists.
C)  average income levels per capita;the more linear the curve,the less inequality exists.
D)  average income levels per quintile;the more linear the curve,the more inequality exists.E) None of the above
F) A) and D)

Question 17

Evidence shows that children from poor communities typically have:

Accepted Answer

A)  reduced opportunities to acquire human capital.
B)  increased opportunities to acquire human capital.
C)  equal opportunities to acquire human capital,but choose not to acquire as much on average than others.
D)  equal opportunities to acquire human capital,and choose to acquire more on average than others.E) B) and C)
F) A) and B)

Question 18

Critics of the U.S.definition of poverty claim it is an inaccurate measure of our poor because:

Accepted Answer

A)  it is a sole number,and does not capture regional differences in the cost of living.
B)  the ratio of food to total income is different now when the definition of poverty was defined.
C)  it fails to account accurately for expenditures other than food.
D)  All of these are true.E) A) and B)
F) None of the above

Question 19

The PPP index:

Accepted Answer

A)  describes the overall difference in prices between countries.
B)  describes the overall inequality present in one country compared to another.
C)  describes the overall differences in poverty levels between countries.
D)  None of these is true.E) B) and D)
F) B) and C)

Question 20

Aid to Families with Dependent Children was a government program with the goal of:

Accepted Answer

A)  redistribution.
B)  social insurance.
C)  economic growth.
D)  None of these is true.E) A) and D)
F) All of the above

Exam 21: Poverty, Inequality, and Discrimination

The Lorenz curve demonstrates:

Correct AnswerverifiedShow Answer

Once active discrimination ends,it:

Correct AnswerverifiedShow Answer

Unemployment insurance pools risk across __________,and Social Security and Medicare pool risk across __________

Correct AnswerverifiedShow Answer

Which of the following countries has experienced increasing inequality in recent decades?

Correct AnswerverifiedShow Answer

Communitywide poverty:

Correct AnswerverifiedShow Answer

Incomes for adults vary widely across race and gender in the United States.These differences could be due to:

Correct AnswerverifiedShow Answer

In the last few decades,income inequality in the United States has ___________ mostly because of the ____________

Correct AnswerverifiedShow Answer

Between 1960 and 1995,Social Security benefits:

Correct AnswerverifiedShow Answer

The PPP index:

Correct AnswerverifiedShow Answer

A perfectly straight Lorenz curve would mean:

Correct AnswerverifiedShow Answer

Evidence shows that children from poor communities typically have:

Correct AnswerverifiedShow Answer

The greatest number of people who live on $1.25 a day live in:

Correct AnswerverifiedShow Answer

Critics of the U.S.definition of poverty claim it is an inaccurate measure of our poor because:

Correct AnswerverifiedShow Answer

Because the U.S.poverty line is an absolute measure rather than a relative one,the official U.S.poverty rate:

Correct AnswerverifiedShow Answer

Aid to Families with Dependent Children was a government program with the goal of:

Correct AnswerverifiedShow Answer

The percent of population that experiences transient poverty at some point in their lives is:

Correct AnswerverifiedShow Answer

Differences in earnings between racial groups is due in part from differences in:

Correct AnswerverifiedShow Answer

Those who are considered the transient poor are defined as those who spend:

Correct AnswerverifiedShow Answer

In situations where businesses discriminate in response to the preferences of consumers,discrimination:

Correct AnswerverifiedShow Answer

The poverty rate dropped from 84 percent in 1981 to 13 percent in 2008 in what country?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Unemployment insurance pools risk across ,and Social Security and Medicare pool risk across

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

In the last few decades,income inequality in the United States has _ mostly because of the __

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified