Government policies designed to equalize the distribution of economic well-being include

Question

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(i) Progressive taxation helps reduce the income inequality gap by taxing higher-income individuals at a higher tax rate. This helps to redistribute wealth from the rich to the poor.

(ii) Welfare programs, such as Medicaid or food stamps, provide assistance to low-income individuals who struggle to meet their basic needs. These programs are designed to help reduce poverty and improve the standard of living of the less fortunate.

(iii) Labor regulations, such as minimum wage laws and collective bargaining, provide a safety net for workers by ensuring they are paid fairly for their services. This helps to reduce income inequality by raising the wages of low-income workers.

Government Policies Designed to Equalize the Distribution of Economic Well-Being