Which of the Following Is Least Likely to Reduce Poverty

question 88

Multiple Choice

Which of the following is least likely to reduce poverty?

• A)Redirecting resources within the poor nation away from the military.
• B)Raising taxes within the poor nation.
• C)Receiving foreign aid from rich donor countries.
• D)Receiving aid from private charities or NGOs.

---

Definitions:

Variable Costs

Costs that vary directly with the level of production or sales volume, such as raw materials or commission on sales.

Fixed Expenses

Costs that do not change with the level of production or business activity.

Unit Contribution Margin

The amount by which the selling price of a unit exceeds its variable costs, indicating how much it contributes to covering fixed costs and generating profit.

Fixed Expenses

Expenses that remain constant regardless of production or sales volume, including rent, salaries, and insurance.