Data on the Distribution of Income Among Individuals and Families

question 43

Multiple Choice

Data on the distribution of income among individuals and families in the United States indicate that

• A) the power of labor unions and corporations is the major determinant of income inequality.
• B) the rich stay rich and the poor stay poor from one generation to another.
• C) much of the inequality in annual income emanates from differences in education, age, hours worked, and family size.
• D) the difference in annual income emanating from ownership of capital assets is the major source of economic inequality.

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Definitions:

Intimidation

The act of making others feel frightened or overawed, especially to influence their behavior or decisions.

Self-defeating Trade-offs

Choices or decisions that may seem beneficial in the short term but ultimately undermine one's own goals or well-being.

Poor Judgment

The lack of ability to make sensible or wise decisions.

Emotional Distress

A state of emotional suffering typically caused by stress, anxiety, or depression.