Question 1

A government transfer payment is a payment for which no goods or services are rendered by the person receiving it.

Accepted Answer

A government transfer payment is a payment made by a government to an individual or organization for which no goods or services are rendered in return. Examples of government transfer payments include social security benefits, welfare programs, and unemployment benefits.

Question 2

JTPA stands for the Job Training Partnership Act.

Accepted Answer

JTPA stands for the Job Training Partnership Act.

Question 3

The negative income tax proposal calls for families with earned incomes below a certain minimum to receive payments from the government,while families with earned income above the minimum make payments to the government.

Accepted Answer

This is an accurate description of the negative income tax proposal.

Question 4

Most government transfer payments go to families that live in poverty.

Accepted Answer

Government transfer payments such as welfare, Medicaid, and food stamps are targeted towards low-income families living in poverty. These programs aim to provide support and alleviate financial hardship for those who are struggling to make ends meet. However, some transfer payments may also go to individuals or families who are not living in poverty but may still qualify for assistance due to certain circumstances such as disability, unemployment, or being a single parent.

Question 5

Poverty is more widespread among black families than among white families.

Accepted Answer

Numerous studies and statistics have shown that poverty is more prevalent among black families compared to white families in the United States. Black families are more likely to experience unemployment, have lower incomes, and lack access to quality education, healthcare, and other services that can contribute to upward social and economic mobility. These institutional and systemic factors have contributed to the persistent racial wealth gap and disparities in poverty rates.

Question 6

The distribution of income depends upon the distribution of resource ownership and the prices paid for resources in different kinds of employment.

Accepted Answer

The distribution of income is influenced by the ownership of resources such as land, capital, and labor, as well as the prices paid for these resources in various types of employment. Therefore, option A is correct.

Question 7

The primary objectives of the food stamp program are to improve the diets of low-income families and to increase the demand for food products.

Accepted Answer

The primary objectives of the food stamp program, also known as the Supplemental Nutrition Assistance Program (SNAP), are to improve the diets of low-income families and to increase their access to healthy food options. The program also aims to reduce food insecurity and alleviate poverty. While the program does increase the demand for food products, this is not its primary objective.

Question 8

The poverty problem in the United States is essentially an income distribution problem.

Accepted Answer

Poverty in the United States typically occurs when individuals or families do not have enough income to cover the basic necessities of life. Income distribution refers to how income is distributed throughout society, and when the distribution is unequal, it can lead to poverty for some groups. Therefore, addressing income distribution is essential in reducing poverty in the United States.

Question 9

Income tax cuts in the 1980's and in the early 2000's had no impact on the distribution of incomE.

Accepted Answer

The income tax cuts in the 1980's and early 2000's did have an impact on the distribution of income, as they mainly benefited the wealthy and contributed to growing income inequality.

Question 10

The official poverty level for a family of four is defined as the cost of the family's food budget times threE.

Accepted Answer

The official poverty level for a family of four is calculated by multiplying the cost of the minimum food diet by 3, not the family's actual food budget. This is a standardized measure used by the government to determine eligibility for certain assistance programs.

Question 11

The aim of job creation programs is to increase the number of jobs for the poor and disadvantaged in private industry and government.

Accepted Answer

The statement is true, as the ultimate goal of job creation programs is to create employment opportunities for individuals who may face barriers to employment, such as the poor and disadvantaged, in both private industry and government. These programs may take the form of training initiatives, skill-building programs, and subsidies or incentives for businesses to hire individuals from these populations.

Question 12

Family income in the United States has become more equal over the last forty years.

Accepted Answer

Family income inequality in the United States has actually increased over the last forty years. The income share of the top 1% has more than doubled, while the income of the bottom 50% has remained stagnant or even decreased in some cases.

Question 13

Costs to taxpayers of a negative income tax plan vary inversely with the guaranteed level of income and directly with the income tax rate on earned incomE.

Accepted Answer

Costs to taxpayers of a negative income tax plan vary directly with the guaranteed level of income and inversely with the income tax rate on earned income. Higher guaranteed income levels increase costs, while higher tax rates on earned income reduce the net cost by increasing the amount of income taxed.

Question 14

The poverty level of income is defined as being five times the minimum food budget for an urban family of four.

Accepted Answer

The poverty level of income is defined by the U.S. government as an income threshold below which a family is considered to be living in poverty. The threshold is determined by various factors, including family size and composition, and is adjusted annually based on the consumer price index. It is not based on a multiple of the minimum food budget for an urban family of four.

Question 15

The poverty problem in the United States is essentially a problem of laziness.

Accepted Answer

This statement is a stereotype and is not supported by evidence. Numerous factors contribute to poverty in the United States, including systemic inequality, lack of access to education and healthcare, and limited economic opportunities in certain regions. Blaming poverty on laziness ignores these complex issues and is not a productive or accurate way to address the problem.

Question 16

Some workers receive higher incomes because they have greater physical strength,have greater training or are working in industries where the value of the product produced is greater.

Accepted Answer

Physical strength, training, and industry value are all factors that can contribute to higher income for workers.

Question 17

An individual's income depends upon the prices and quantities of resources owneD.

Accepted Answer

An individual's income is determined by the prices and quantities of the resources they own, such as land, labor, and capital. This is because these resources are used in the production of goods and services that generate income. If the prices of these resources increase or if the individual owns more of them, their income will also increase. Therefore, an individual's income is directly affected by the prices and quantities of the resources they own.

Question 18

Income support programs designed to alleviate poverty have mitigated the economic hardship of low-income families and individuals.

Accepted Answer

Income support programs such as welfare, food stamps, and housing assistance have been successful in providing financial assistance and resources to those with low incomes, helping to alleviate poverty and its associated economic hardships.

Question 19

The incidence of poverty is highest among minority groups,the young,the aged,and the uneducateD.

Accepted Answer

Studies have shown that poverty disproportionately affects minority populations, children, the elderly, and those with limited educational opportunities.

Question 20

The poverty problem in this country is mainly one of low production.

Accepted Answer

The poverty problem in this country is a complex issue that is caused by a variety of factors, including low wages, lack of access to education and healthcare, discrimination, and structural inequality. While low production may be one factor contributing to poverty, it is not the main cause.

Quiz 7: Poverty Problems and Discrimination: Why Are so Many Still so Poor

A government transfer payment is a payment for which no goods or services are rendered by the person receiving it.

JTPA stands for the Job Training Partnership Act.

The negative income tax proposal calls for families with earned incomes below a certain minimum to receive payments from the government,while families with earned income above the minimum make payments to the government.

Most government transfer payments go to families that live in poverty.

Poverty is more widespread among black families than among white families.

The distribution of income depends upon the distribution of resource ownership and the prices paid for resources in different kinds of employment.

The primary objectives of the food stamp program are to improve the diets of low-income families and to increase the demand for food products.

The poverty problem in the United States is essentially an income distribution problem.

Income tax cuts in the 1980's and in the early 2000's had no impact on the distribution of incomE.

The official poverty level for a family of four is defined as the cost of the family's food budget times threE.

The aim of job creation programs is to increase the number of jobs for the poor and disadvantaged in private industry and government.

Family income in the United States has become more equal over the last forty years.

Costs to taxpayers of a negative income tax plan vary inversely with the guaranteed level of income and directly with the income tax rate on earned incomE.

The poverty level of income is defined as being five times the minimum food budget for an urban family of four.

The poverty problem in the United States is essentially a problem of laziness.

Some workers receive higher incomes because they have greater physical strength,have greater training or are working in industries where the value of the product produced is greater.

An individual's income depends upon the prices and quantities of resources owneD.

Income support programs designed to alleviate poverty have mitigated the economic hardship of low-income families and individuals.

The incidence of poverty is highest among minority groups,the young,the aged,and the uneducateD.

The poverty problem in this country is mainly one of low production.