When an economy experiences strong economic growth,

Question

Quizplus · Accepted Answer

Strong economic growth typically results in an increase in the overall level of income, which can lead to an increase in the income of families in the bottom of the income distribution. However, this does not necessarily mean that the number of families in the bottom 10 percent of the income distribution will decrease. The distribution of income depends on a variety of factors, including government policies, market conditions, and individual choices. Some families may see little or no change in their income, while others may experience significant gains.

When an Economy Experiences Strong Economic Growth