Which of the Following Is True of the Welfare-Reform Measure

question 93

Multiple Choice

Which of the following is true of the welfare-reform measure known as the Personal Responsibility and Work Opportunity Act of 1996 (PRWOA) passed by Congress in 1996?

• A) Its main source of opposition was the Republican party.
• B) It reinstated the Aid to Families with Dependent Children (AFDC) program.
• C) It limited the amount of time one could receive welfare payments.
• D) It quickly began to lower poverty rates.
• E) It significantly increased federal funding for welfare.

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Definitions:

Fixed Costs

Costs that do not change with the level of output or activity, such as rent or salaries.

Short Run

A period during which at least one of a firm's inputs is fixed, limiting the firm's ability to adjust production in response to market changes.

Monopolistically Competitive

A market framework where numerous companies offer products that are alike but not exactly the same, providing room for a bit of market influence and variation in products.

Fixed Costs

Costs that do not vary with the level of output or sales, such as rent, salaries, or insurance premiums.