A problem arising from transferring income to the poor is that it may reduce their incentive to work.

Question

Quizplus · Accepted Answer

If individuals receive enough income through transfer programs or benefits, they may have less motivation to pursue work opportunities, as the additional earnings may not outweigh the potential loss of benefits. This can lead to a decrease in work participation and productivity, which can ultimately harm the economy and society as a whole.

A Problem Arising from Transferring Income to the Poor Is