The Two Types of Dependents Are Qualifying Child or Qualifying

question 5

True/False

The two types of dependents are qualifying child or qualifying dependent.

---

Definitions:

Real Wage

The purchasing power of wages, taking into account the effect of inflation on purchasing power.

Nominal Wage

The wage paid to employees in current dollars without adjustment for inflation, reflecting the actual amount of money received.

General Price Level

An index that shows the average price of goods and services across the economy over a period of time.

Real Wages

Wages adjusted for inflation, reflecting the purchasing power of income earned from work.