When poverty is defined by an absolute real income level, what will happen to the poverty rate if income per capita in a country continues to grow?

Question

Quizplus · Accepted Answer

If poverty is defined by an absolute real income level, then as income per capita in a country continues to grow, more and more people will cross that income level threshold and no longer be considered in poverty. Eventually, if income growth continues, the poverty rate can reach zero. Therefore, the best choice is B.

When Poverty Is Defined by an Absolute Real Income Level