Transfer payments are payments that:
A)governments make to households although the government did not receive a good or service from the household.
B)governments make to households when the government receives a good or service.
C)erode the purchasing power of the economy.
D)are essentially tax refunds.

Question

Quizplus · Accepted Answer

Transfer payments are payments made by the government to individuals or groups for which no goods or services are exchanged, such as Social Security or welfare payments. These payments are given for various reasons such as social welfare and assistance programs and support to special interest groups.

Transfer Payments Are Payments That