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When Measuring International Poverty

Question 38

Multiple Choice

When measuring international poverty:


A) absolute measures of poverty are not used, because prices are different around the world.
B) economists typically compare the relative wealth of one country to another.
C) the purchasing power parity (PPP) index can be used to make absolute poverty measures comparable across countries.
D) we set the U.S. poverty rate to zero and view other country's rates as positive or negative relative to that of the United States.

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