Deck 6: Economic Inequality, Wealth, and Poverty

Question 1

Which term refers to the total assets of an individual or household minus liabilities?

A)income
B)gross income per capita
C)standard of living
D)wealth

Answer 1

D

Question 2

The 2013 poverty threshold for a family with two adults and two children was about

A)$11,000.
B)$23,000.
C)$35,000.
D)$58,000.

Answer 2

B

Question 3

Lauri and Ben both work full-time but their annual income is just above the poverty line.They represent those considered

A)median income poor.
B)income challenged.
C)near-poor.
D)relatively poor.

Answer 3

C

Question 4

________ poverty refers to a deficiency of material and economic resources compared with some other population.

A)Relative
B)Comparative
C)Absolute
D)Standardized

Question 5

A common working definition of "low income" households is households with incomes that are between ____________ percent of the federal poverty line.

A)10 and 20
B)30 and 50
C)75 and 100
D)100 and 200

Question 6

The richest 1% of adults in the world own approximately______ of all global household wealth.

A)20%
B)45%
C)50%
D)70%

Question 7

Which country owns the largest share of the world's wealth?

A)China
B)India
C)United States
D)Saudi Arabia

Question 8

In industrialized countries, national poverty lines are sometimes based on the median household income of a country's population.According to this _____ poverty measure, members of a household are considered poor if their household income is less than 50 percent of the median household income in that country.

A)standardized
B)absolute
C)comparative
D)relative

Question 9

What portion of the world's population lives in extreme poverty?

A)1 percent
B)1 in 5
C)over half
D)nearly 70 percent

Question 10

The most widely used standard to measure poverty sets extreme poverty at _____ a day in the developing countries.

A)$1.25
B)$2.25
C)$4.25
D)$5.25

Question 11

The term ________ refers to the lack of resources that leads to hunger and physical deprivation

A)socioeconomic inequality
B)absolute poverty
C)lower class
D)relative poverty

Question 12

Americans living in households with income below 50 percent of the poverty line are considered to be in

A)challenging poverty.
B)lower poverty.
C)multidimensional poverty.
D)deep poverty.

Question 13

A social system in which individuals get ahead and earn rewards based on their individual efforts and abilities is a​

A)​meritocracy.
B)​plutocracy.
C)​theocracy.
D)​gerontocracy.

Question 14

Half of the world's poor, as measured by the MPI, live in

A)the United States.
B)eastern Europe.
C)South Asia.
D)Central America.

Question 15

The Multidimensional Poverty Index includes all of the following measures of deprivation EXCEPT

A)deprivation of health.
B)deprivation of education.
C)deprivation of affection.
D)deprivation in standard of living.

Question 16

Critics of the U.S.poverty line argue that

A)low-income families today spend far less than one-third of their income on food.
B)the U.S.poverty line accounts too much for regional differences and not enough for local variations in the cost of living.
C)the homeless are overrepresented among the poor.
D)Medicaid and public housing are inappropriately included in income estimates of a family.

Question 17

Which of the following is a common measure of the basic needs and income workers require for economic security?

A)CHANCE
B)BEST
C)WEALTH
D)I-Cap

Question 18

The United States poverty line is calculated as

A)the average cost of food, shelter, and transportation.
B)2 times the average cost of food and shelter.
C)3 times the minimum cost of an adequate diet.
D)4 times the average cost of an adequate diet.

Question 19

Which of the following is included in the official poverty calculations?

A)the tax burdens of low-income families
B)the federal Earned Income Tax Credit that many families receive
C)family assets, such as savings and property
D)pretax income

Question 20

Poverty thresholds in the United States differ by all of the following EXCEPT

A)number of adults in a family.
B)region of the United States.
C)number of children in a family.
D)age of the family head of household.

Question 21

Which of the following perspectives are most likely to argue that physicians should be paid higher than most occupations because their job is more important than most and requires so much education and training?

A)Structural-functionalism
B)Conflict theory
C)Symbolic interactionism
D)Feminist theory

Question 22

According to the text, what is the best insurance against living in poverty?

A)family structure
B)educational attainment
C)hard work
D)number of children

Question 23

Which of the following families is most likely to be poor?

A)a married-couple family
B)female-householder, no spouse present
C)male-householder, no spouse present
D)an elderly married couple

Question 24

Which sociological perspective is most likely to focus on the labels attached to different groups of people based on their socioeconomic position?

A)Structural-functionalism
B)Conflict Theory
C)Symbolic Interactionism
D)Feminist Theory

Question 25

In 2012, the wealthiest one percent of U.S.households earned more than _______ percent of the nation's income.​

A)​5
B)​7
C)​20
D)​60

Question 26

What portion of U.S.children are likely to experience poverty for at least part of their childhood?​

A)​5 percent
B)​10 percent
C)​one-third
D)​over one-half

Question 27

In 2010, the average household income for whites was _________ the average for black and Hispanic households.​

A)​slightly less than
B)​about equal to
C)​slightly more than
D)​about twice

Question 28

According to modern conflict theorists, the power to influence economic outcomes in a society comes from all of the following EXCEPT

A)ownership of the means of production.
B)advertising.
C)interlocking board memberships.
D)control of media.

Question 29

______ of the U.S.poor population are children.

A)Less than 1/10
B)About 1/5
C)About 1/4
D)More than 1/3

Question 30

According to Karl Marx, the owners of the factories or the "means of production" are the

A)proletariat.
B)corporate clients.
C)meritocracy.
D)bourgeoisie.

Question 31

______ has the highest child poverty rate among industrialized countries.

A)Canada
B)The United States
C)France
D)Sweden

Question 32

As companies relocate to poor countries with abundant supplies of cheap labor, wages decline and

A)consumer spending decreases.
B)quality of life increases.
C)more industries grow and prosper.
D)unemployment rates decrease.

Question 33

Which country has the highest rate of poverty among OECD countries?

A)Spain.
B)Canada.
C)United States.
D)England.

Question 34

Individuals who spend at least 27 weeks per year in the labor force but whose income falls below the official poverty level are called​

A)​the working poor.
B)​the near poor.
C)​the underemployed.
D)​the living waged.

Question 35

The "feminization of poverty" refers to the

A)higher proportion of females than males in poverty.
B)dependence upon female income that occurs with male unemployment.
C)higher percentage of females who become poor in their old age.
D)fact that more females than males are born to poor families.

Question 36

Research suggests that more than ______ of Americans between the ages of 20 and 75 will spend at least 1 year in poverty.

A)1/5
B)1/4
C)1/3
D)1/2

Question 37

"Wealthfare" refers to

A)laws and policies that favor the rich.
B)low-interest loans to people near the poverty line.
C)low-interest subsidies to apartment complexes that rent to the poor.
D)government programs that provide food, health care, and minimal monthly income to the poor.

Question 38

Which of the following perspectives is most likely to study how definitions of the poor as lazy and irresponsible are related to support for assistance programs?

A)Structural-functionalism
B)Conflict Theory
C)Symbolic Interactionism
D)Feminist Theory

Question 39

Which of the following is an example of corporate welfare?

A)a large corporation donates money to a homeless shelter
B)severance pay and unemployment insurance
C)low-interest government loans, subsidies, and tax breaks to corporations
D)employee assistance programs

Question 40

In 2012, _____ percent of the U.S.population lived below the poverty line.

A)4.5
B)8.5
C)15
D)20.1

Question 41

In which region of the United States are poverty rates the highest?​

A)​the South and West
B)​the Northeast
C)​the Midwest
D)​the New England states

Question 42

Many of the poor feel powerless and unable to influence decisions in the larger society.This reflects a sense of

A)anomie.
B)political alienation.
C)the standardization of poverty.
D)ideological suffrage.

Question 43

Your text's photo essay about lack of clean water among the world's poor suggests that

A)the best way to remedy the situation is privatization of public services in poor countries.
B)lack of clean water is a minor health problem that affects few people in the world.
C)lack of clean water and sanitation facilities is a major cause of disease and death.
D)lack of water places more of a burden on the men than women in poor countries.

Question 44

In recent years the homeless have

A)been more likely to find government sponsored housing.
B)spending as much time as possible in city homeless shelters.
C)faced an increased number of unprovoked violent attacks.
D)been more likely to be homeless because they did not want to work at the jobs that were available.

Question 45

The 2010 Supreme Court ruling in Citizens United v.Federal Election Commission ​

A)​allows corporations to spend unlimited amounts of money to support or oppose political candidates.
B)​provides campaign funds for low income political candidates.
C)​strictly regulates that no political candidate is allowed to spend more on the campaign than the opposition.
D)​creates a public interest group for immigrant issues.

Question 46

Which of the following is NOT associated with low income?

A)substance abuse
B)child abuse
C)divorce
D)lack of stress

Question 47

The working poor are individuals who spend at least _____ weeks per year in the labor force but whose income falls below the official poverty level.

A)8
B)16
C)27
D)42

Question 48

____________ of urban populations in developing regions are living in slums.​

A)Five percent
B)​One quarter
C)​One third
D)​Over half

Question 49

Divorce is

A)more common among low income families.
B)more common among high income families.
C)about the same in high income and low income families.
D)unaffected by economic conditions.

Question 50

Concentrated areas of poverty and poor housing are called

A)neighborhoods.
B)slums.
C)suburbs.
D)exurbs.

Question 51

The housing crisis of 2007 and 2008 resulted largely from a sharp decrease in inflated housing values and ​

A)​Obamacare.
B)​subprime mortgages.
C)​the stock market crash.
D)​government housing subsidies.

Question 52

The primary cause of homelessness is

A)substance abuse.
B)lack of affordable housing.
C)unemployment.
D)domestic violence.

Question 53

Your text mentions all of the following as factors contributing to poverty among minorities EXCEPT

A)past discrimination.
B)large numbers of children.
C)the loss of manufacturing jobs from the inner city.
D)the movement of whites and middle-class blacks out of the inner city.

Question 54

In 2011, approximately ____ of households were food insecure at some point during the year.

A)2%
B)5%
C)11%
D)15%

Question 55

Educational problems associated with poverty include all of the following EXCEPT​

A)​college students graduating with substantial debt.
B)​overcrowded classrooms.
C)​limited access to computers.
D)​guaranteed loan programs for schools.

Question 56

High-interest or adjustable-rate mortgages that require little money down and are issued to borrowers with poor or limited credit are called​

A)​subprime mortgages.
B)​EZ mortgages.
C)​Affordable Loan Program mortgages.
D)​blue chip mortgages.

Question 57

Poorer countries are more likely than wealthier countries to

A)promote equality of opportunity.
B)ensure equal access to education.
C)experience civil war.
D)have government programs to help the homeless.

Question 58

What portion of the world's population does not have access to modern sanitation facilities?​

A)​2 percent
B)​10 percent
C)​one quarter
D)​one third

Question 59

According to the text, all of the following contribute to homelessness EXCEPT​

A)​a desire for a free and easy life
B)​domestic violence
C)​substance abuse
D)​lack of affordable housing

Question 60

Poor parents are

A)more likely to use harsh disciplinary techniques than nonpoor parents.
B)less likely to leave children home without adult supervision than non-poor working parents.
C)as nurturing and supportive of their children as non-poor parents.
D)as likely to provide medical care for their children as non-poor parents.

Question 61

In 1996, Congress passed the Personal Responsibility and Work Opportunity Reconciliation Act, commonly referred to as "welfare reform," that established

A)Aid to Families with Dependent Children (AFDC).
B)Temporary Assistance to Needy Families (TANF).
C)the U.S.Food Stamp Program.
D)the U.S.School Lunch Program.

Question 62

In 2012, the average benefit for an individual receiving Supplemental Nutrition Assistance was

A)$50
B)$133
C)$305
D)$500

Question 63

According to your text, poor teenage girls may be motivated to have a child

A)so they can collect welfare.
B)so they will have an excuse to drop out of school.
C)to make a change in their lives towards something better.
D)to move out of their parents' household.

Question 64

"Means tested programs" refer to programs

A)whose strategies have proved effective in assisting those in need.
B)whose strategies have been reviewed and determined ethical by a government review board.
C)that have eligibility requirements based on income.
D)that have eligibility requirements based on tests of knowledge or skills.

Question 65

Section 8 housing

A)builds new houses for low-income families.
B)attempts to disperse low-income families to properties outside low-income neighborhoods.
C)includes federal rent subsidies to tenants, not landlords.
D)is currently adequate to meet needs of low-income families but is projected to fail to meet future needs.

Question 66

Some exceptions to the eligibility rules to receive TANF are made for all of the following EXCEPT

A)individuals with disabilities.
B)single parents of children under age 18.
C)victims of domestic violence.
D)residents of high unemployment areas.

Question 67

Which of the following is a "means-tested program?"

A)government public assistance programs for the poor
B)state achievement tests to graduate high school
C)subprime mortgage
D)prisons

Question 68

Public housing in the United States dates back to which decade?

A)1820s
B)1880s
C)1930s
D)1960s

Question 69

The 1996 federal welfare reform legislation set a lifetime limit of _____ for families receiving TANF.

A)1 year
B)2 years
C)5 years
D)10 years

Question 70

Your text cites all of the following factors to explain intergenerational poverty EXCEPT

A)the movement of well-paid jobs out of urban areas.
B)decline in the availability of marriageable males able to support a family.
C)relative lack of family and educational values among inner-city mothers.
D)increase in out-of-wedlock births

Question 71

______________ is an international agenda for reducing poverty and improving lives.​

A)​Affordable Care
B)​Millennium Development Goals
C)​The World United
D)​Occupy Wall Street

Question 72

The largest food assistance program in the United States is now called

A)food stamps.
B)school lunch and breakfast programs.
C)the Special Supplemental Food Program for Women, Infants, and Children (WIC).
D)Supplemental Nutrition Assistance Program.

Question 73

What is the new name for the Food Stamp Program?

A)Section 8
B)TANF
C)SSI
D)SNAP

Question 74

Supplemental Security Income provides a minimum income to all of the following EXCEPT

A)mothers under the age of 18.
B)people age 65 or older.
C)the blind.
D)the disabled.

Question 75

The purpose of the Millennium Development Goals (MDGs)is to reduce by half

A)the number of people in the United States who receive government assistance.
B)worldwide population growth.
C)the proportion of people who live in severe poverty and who suffer from hunger.
D)the world's orphaned children who lack adult caretakers.

Question 76

Advocates for the poor point out that economic development

A)always reduces poverty.
B)has no impact on poverty.
C)does not always reduce poverty, but does not increase it.
D)sometimes increases poverty.

Question 77

Microcredit programs

A)provide loans to people who are generally excluded from traditional credit services because of their low socioeconomic status.
B)require an applicant to provide a 20% minimum capital investment and have good credit.
C)offer World Bank loans to large capital investors who agree to establish manufacturing industries in developing countries.
D)do not require repayment of loans if the recipients establish businesses in low-income areas.

Question 78

___________ is poverty that is transmitted from one generation to the next.​

A)​Intergenerational poverty
B)​Intragenerational poverty
C)​Socioeconomic poverty
D)​Inherited poverty

Question 79

Within ______ of receiving benefits, adult recipients of TANF must either be employed or involved in work-related activities, such as on-the-job-training, job search, and vocational education.

A)6 months
B)1 year
C)2 years
D)5 years

Question 80

Under the federal 1996 federal welfare reform legislation, able-bodied individuals who are aged 18-50 without dependents

A)can receive TANF up to a maximum of 10 years during their lifetime.
B)can receive TANF up to a maximum of 5 years during their lifetime.
C)can receive TANF up to a maximum of 2 years during their lifetime.
D)are not eligible to receive TANF .