It Is Difficult to Say Whether Welfare "Causes" Daughters from Welfare

question 53

Multiple Choice

It is difficult to say whether welfare "causes" daughters from welfare families to be more likely to participate in the welfare system themselves because

• A)the same factors that contribute to a mother's welfare status can also contribute to her daughter's welfare status
• B)no research has been done on this topic
• C)economists are unconcerned with questions about welfare status
• D)if two factors occur together, then one must cause the other
• E)it is possible that the daughter's welfare status "causes" the welfare programs

---

Definitions:

Above-Equilibrium Wage

A wage rate set above the market equilibrium, where the quantity of labor supplied exceeds the quantity of labor demanded, often leading to unemployment.

Cartel

An association of independent businesses organized to control production, pricing, and marketing of goods to restrict competition.

Labor

The human effort, both physical and mental, used in the production of goods and services.

Minimum Wage

The lowest legally permissible hourly wage that employers can pay their workers, intended to protect employees from unduly low pay.