What Is the Level of Income Below Which an Individual

question 48

Multiple Choice

What is the level of income below which an individual or family is considered to be living in poverty?

• A)the standard of living
• B)welfare
• C)the level of necessities
• D)the poverty line

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Definitions:

Consumer Surplus

The difference between what consumers are willing to pay for a good or service and what they actually pay.

Rational

Related to decision-making, denotes behavior in accordance with logic or reason, where choices are made to maximize self-interest or outcome.

Inelastic

Characterizing a situation where a change in price leads to a relatively small change in the quantity demanded or supplied.

Share of Income

The portion of total income (either personal or national) that is received by an individual, household, or socioeconomic group.