Which of the Following Is True of the Middle Class

question 57

Multiple Choice

Which of the following is true of the middle class in emerging markets?

• A) Companies can expect middle-class consumers worldwide to earn roughly the same income.
• B) Middle-class consumers in less-developed nations often cannot afford to pay as much for a product as consumers in the more advanced economies do.
• C) The majority of the global middle class lives in developed nations.
• D) Only one-third of people living in developing countries are literate.
• E) The emerging middle class constitutes the highest percentage of the total country population in Mexico.

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Definitions:

Transaction Cost

Expenses incurred when buying or selling goods or services, beyond the price of the goods or services themselves.

Specialized Resources

Resources uniquely suited or trained to perform specific tasks or functions within an economic system, enhancing efficiency and productivity.

Opportunity Cost

The financial loss associated with rejecting the subsequent optimal choice in any decision-making scenario.

Specialized Tools

Equipment or instruments designed for specific tasks or professions, enhancing efficiency and precision.