Which of the following statements is correct?

Question

Quizplus · Accepted Answer

Economic growth that raises all incomes will decrease the number of families in poverty. This is because as the overall income level of the society increases, it becomes easier for families to meet their basic needs and move out of poverty. The poverty line is an absolute standard, not a relative one, and increasing income inequality tends to increase poverty rather than reduce it. Economic growth does not necessarily affect all families equally, as the benefits of growth may not be distributed evenly.

Which of the Following Statements Is Correct