Question 1

Including in-kind transfers and other resources not reported in surveys of money income would:

Accepted Answer

A)  increase the official poverty rate. 
B)  decrease the official poverty rate. 
C)  have no effect on the official poverty rate. 
D)  have an ambiguous effect on the official poverty rate. 
A)  increase the official poverty rate. 
B)  decrease the official poverty rate. 
C)  have no effect on the official poverty rate. 
D)  have an ambiguous effect on the official poverty rate. B

Question 2

The Dependent Care Assistance Program (DCAP):

Accepted Answer

A)  is a federal government bloc grant that provides the states with money to help low-income working families pay for childcare. 
B)  is a federal program that allows an employer to provide up to $5,000 in assistance to employees to help them pay certain child and dependent care expenses, childcare included. 
C)  provides up to $500 per dependent child under age 17 for single taxpayers with income of $84,000 or less, and for married taxpayers with income of $119,000 or less. 
D)  is provided by about half of the state governments to provide a credit against income tax liability for childcare expenses for working taxpayers. 
A)  is a federal government bloc grant that provides the states with money to help low-income working families pay for childcare. 
B)  is a federal program that allows an employer to provide up to $5,000 in assistance to employees to help them pay certain child and dependent care expenses, childcare included. 
C)  provides up to $500 per dependent child under age 17 for single taxpayers with income of $84,000 or less, and for married taxpayers with income of $119,000 or less. 
D)  is provided by about half of the state governments to provide a credit against income tax liability for childcare expenses for working taxpayers. B

Question 3

Evaluate the following statement. "Increases in the unemployment rate will tend to increase the poverty rate."

Accepted Answer

This statement is correct. As a group, the poor lack the skills and patterns of work force attachment that are in great demand in the labor market. As a result, they tend to be hit harder than other groups when the economy goes into a downturn.

Question 4

The effect of the benefit reduction rate on work effort is:

Accepted Answer

A)  ambiguous. 
B)  negative because it provides the individual with more money to "purchase" leisure. 
C)  negative because it reduces the opportunity cost of leisure. 
D)  positive because it increases the opportunity cost of leisure. 
A)  ambiguous. 
B)  negative because it provides the individual with more money to "purchase" leisure. 
C)  negative because it reduces the opportunity cost of leisure. 
D)  positive because it increases the opportunity cost of leisure.

Question 5

Workfare has been proposed as a method of increasing the earnings of the working poor.

Accepted Answer

A) True 
 B)False

Question 6

The authors argue that labor market discrimination contributes little to poverty because:

Accepted Answer

A)  the earnings differential between individuals with little education is relatively small. 
B)  poverty rates have persisted over time even though earnings differentials have narrowed. 
C)  nearly half of those living in poverty live in families headed by white males. 
D)  all of the above. 
A)  the earnings differential between individuals with little education is relatively small. 
B)  poverty rates have persisted over time even though earnings differentials have narrowed. 
C)  nearly half of those living in poverty live in families headed by white males. 
D)  all of the above.

Question 7

Suppose the basic benefit is $200, the benefit reduction rate is 40 percent, and net income is $100. What is the benefit?

Accepted Answer

A)  $340. 
B)  $240. 
C)  $160. 
D)  $140. 
A)  $340. 
B)  $240. 
C)  $160. 
D)  $140.

Question 8

The official poverty line is the cost of housing multiplied by three.

Accepted Answer

A) True 
 B)False

Question 9

The working poor have received numerous benefits from the employment and training assistance programs offered by the government.

Accepted Answer

A) True 
 B)False

Question 10

Temporary Assistance for Needy Families (TANF), is the nation's safety net program for low-income families.

Accepted Answer

A) True 
 B)False

Question 11

Food Stamps provide cash payments to the working poor.

Accepted Answer

A) True 
 B)False

Question 12

The largest public assistance program is:

Accepted Answer

A)  Aid to Families with Dependent Children. 
B)  food stamps. 
C)  Medicaid. 
D)  housing assistance. 
A)  Aid to Families with Dependent Children. 
B)  food stamps. 
C)  Medicaid. 
D)  housing assistance.

Question 13

Public assistance programs provide benefits in the event of:

Accepted Answer

A)  inflation. 
B)  unemployment. 
C)  retirement. 
D)  low-income. 
A)  inflation. 
B)  unemployment. 
C)  retirement. 
D)  low-income.

Question 14

Unemployment plays only a minor role in maintaining high poverty rates among African-Americans.

Accepted Answer

A) True 
 B)False

Question 15

The rate at which benefits fall when income rises is:

Accepted Answer

A)  the benefit reduction rate. 
B)  the benefit reduction rate 
C)  the basic welfare reduction rate 
D)  the break-even rate. 
A)  the benefit reduction rate. 
B)  the benefit reduction rate 
C)  the basic welfare reduction rate 
D)  the break-even rate.

Question 16

Government provides public assistance thorough:

Accepted Answer

A)  the food stamp program. 
B)  the Medicaid program. 
C)  housing assistance programs. 
D)  All of the above. 
A)  the food stamp program. 
B)  the Medicaid program. 
C)  housing assistance programs. 
D)  All of the above.

Question 17

Suppose the basic benefit is 300, the benefit reduction rate is 70 percent, and net income is zero. What is the amount of the benefit?

Accepted Answer

The benefit is found by using

Question 18

The poverty rate is defined as:

Accepted Answer

A)  the ratio of poor people to the U.S. population. 
B)  the ratio of poor people to rich people. 
C)  the ratio of poor people to employed people. 
D)  the ratio of poor people to unemployed people. 
A)  the ratio of poor people to the U.S. population. 
B)  the ratio of poor people to rich people. 
C)  the ratio of poor people to employed people. 
D)  the ratio of poor people to unemployed people.

Question 19

There is evidence that earnings differentials between white males and others is less among individuals with less education.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following statements is correct?

Accepted Answer

A)  TANF is financed by the federal government through bloc grants to the states. 
B)  TANF is the nation's safety net program for low-income families. 
C)  TANF was established as a replacement for AFDC. 
D)  All of the above. 
A)  TANF is financed by the federal government through bloc grants to the states. 
B)  TANF is the nation's safety net program for low-income families. 
C)  TANF was established as a replacement for AFDC. 
D)  All of the above.

Including in-kind transfers and other resources not reported in surveys of money income would:

The Dependent Care Assistance Program (DCAP):

Evaluate the following statement. "Increases in the unemployment rate will tend to increase the poverty rate."

The effect of the benefit reduction rate on work effort is:

Workfare has been proposed as a method of increasing the earnings of the working poor.

The authors argue that labor market discrimination contributes little to poverty because:

Suppose the basic benefit is $200, the benefit reduction rate is 40 percent, and net income is $100. What is the benefit?

The official poverty line is the cost of housing multiplied by three.

The working poor have received numerous benefits from the employment and training assistance programs offered by the government.

Temporary Assistance for Needy Families (TANF), is the nation's safety net program for low-income families.

Food Stamps provide cash payments to the working poor.

The largest public assistance program is:

Public assistance programs provide benefits in the event of:

Unemployment plays only a minor role in maintaining high poverty rates among African-Americans.

The rate at which benefits fall when income rises is:

Government provides public assistance thorough:

Suppose the basic benefit is 300, the benefit reduction rate is 70 percent, and net income is zero. What is the amount of the benefit?

The poverty rate is defined as:

There is evidence that earnings differentials between white males and others is less among individuals with less education.

Which of the following statements is correct?

Economic Growth: an Introduction to Scarcity and Choice

An Introduction to Economic Systems and the Workings of the Price System

Competitive Markets and Government Policy: Agriculture

Efficiency in Resource Allocation: How Much Do We Have How Much Do We Want

Market Power: Does It Help or Hurt the Economy

Air Pollution: Balancing Benefits and Costs

Health Care: How Much for Whom

Crime and Drugs: a Modern Dilemma

College Education: Is It Worth the Cost

Educational Reform: the Role of Incentives and Choice

Tracking and Explaining the Macroeconomy

Unemployment: the Legacy of Recession, Technological Change, and Free Choice

Inflation: a Monetary Phenomenon

Sustained Budget Deficits: Is This Any Way to Run a Government

Social Security: Leading Issues and Approaches to Reform

International Trade: Beneficial, but Controversial

Financing Trade and the Trade Deficit

Filters

Exam 11: Poverty: Old and New Approaches to a Persistent Problem

Including in-kind transfers and other resources not reported in surveys of money income would:

The Dependent Care Assistance Program (DCAP):

Evaluate the following statement. "Increases in the unemployment rate will tend to increase the poverty rate."

The effect of the benefit reduction rate on work effort is:

Workfare has been proposed as a method of increasing the earnings of the working poor.

The authors argue that labor market discrimination contributes little to poverty because:

Suppose the basic benefit is $200, the benefit reduction rate is 40 percent, and net income is $100. What is the benefit?

The official poverty line is the cost of housing multiplied by three.

The working poor have received numerous benefits from the employment and training assistance programs offered by the government.

Temporary Assistance for Needy Families (TANF), is the nation's safety net program for low-income families.

Food Stamps provide cash payments to the working poor.

The largest public assistance program is:

Public assistance programs provide benefits in the event of:

Unemployment plays only a minor role in maintaining high poverty rates among African-Americans.

The rate at which benefits fall when income rises is:

Government provides public assistance thorough:

Suppose the basic benefit is 300, the benefit reduction rate is 70 percent, and net income is zero. What is the amount of the benefit?

The poverty rate is defined as:

There is evidence that earnings differentials between white males and others is less among individuals with less education.

Which of the following statements is correct?

Economic Growth: an Introduction to Scarcity and Choice

An Introduction to Economic Systems and the Workings of the Price System

Competitive Markets and Government Policy: Agriculture

Efficiency in Resource Allocation: How Much Do We Have How Much Do We Want

Market Power: Does It Help or Hurt the Economy

Air Pollution: Balancing Benefits and Costs

Health Care: How Much for Whom

Crime and Drugs: a Modern Dilemma

College Education: Is It Worth the Cost

Educational Reform: the Role of Incentives and Choice

Tracking and Explaining the Macroeconomy

Unemployment: the Legacy of Recession, Technological Change, and Free Choice

Inflation: a Monetary Phenomenon

Sustained Budget Deficits: Is This Any Way to Run a Government

Social Security: Leading Issues and Approaches to Reform

International Trade: Beneficial, but Controversial

Financing Trade and the Trade Deficit

Filters