Exam 15: Income Inequality and Poverty

In 2010, high-income families (the top 20 percent) in the United States earned approximately ____ percent of the total before-tax income.

Which of the following is true concerning the distribution of income?

Programs that limit the eligibility of transfer recipients to those with low income are called

In 2014, the proportion of all poverty-level families headed by a female was

Which of the following is true of the tax and transfer programs of the United States?

Data indicate that the large increase in government spending on income transfers that started with the War on Poverty during the latter half of the 1960s has resulted in

Which of the following is true about income distribution?

In the United States the degree of individual income mobility (that is, the degree to which people move from higher to lower or lower to higher income groupings) is

Which one of the following groups has a below-average incidence of poverty?

This year Terrance earned $3,000 more than last year. As a result, he received $2,500 less in government transfers. Therefore, Terrance's implicit marginal tax rate is about

Economic analysis indicates that

Imagine two cities, Hometown and Visitorsville, where the rich, middle, and poor income recipients in one city have annual incomes identical to their counterparts' incomes in the other city. In Hometown, the poorest families one year almost always end up as the richest families the next year and become middle-income families the year after that. In Visitorsville, however, the poor remain poor and the rich remain rich. Which of the following is true about the two cities?

Which of the following would cause the poverty threshold income level for a given family to increase by 20 percent from one year to another?

What percent of the families classified as poor in 2014 were headed by an elderly (age 65 and over) person?

How do the high implicit marginal tax rates that often occur when transfer payments are inversely linked to earnings affect the incentive of poor people to work and earn?

If complete equality of income were legislated, which of the following would economics predict?

In a market economy, individuals have a strong incentive to develop their skills and provide others with resources, goods, and services that they value because these activities generally

The Samaritan's dilemma describes the problem that exists when transfer programs, designed to help the poor, encourage choices that can promote or perpetuate

Compared to low-income families, a larger proportion of high-income families

Assume that Jamal is a single parent who is in poverty. He receives food stamps and Medicaid. For every $100 that he earns, Jamal loses $35 in food stamps and $20 in Medicaid benefits. Also, Jamal's income is taxed at a rate of 10%. Then, Jamal's total tax rate is