Economists Often Assert That a Person Who Receives an In-Kind

question 89

Multiple Choice

Economists often assert that a person who receives an in-kind transfer payment (from government) has a higher income as a result. But an in-kind transfer is not money income, so what are economists thinking?

• A)They are thinking that an additional in-kind benefit, like more money income, makes a person better off and thus they are equating being better off (in the sense of having more goods and services) with a higher income.
• B)They are thinking that persons who receive in-kind benefits end up selling them, receiving money in exchange.
• C)They are thinking that the individuals who receive the in-kind benefits equate more in-kind benefits with more money income.
• D)They are thinking that individuals who receive in-kind benefits would prefer to receive them over receiving additional money income, so that in-kind benefits are worth at least their monetary value.
• E)none of the above

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Definitions:

Instrumentality

In the context of motivation theory, it refers to the perceived relationship between performing at a certain level and achieving a desired outcome.

Goal-Setting Theory

Goal-Setting Theory posits that specific, challenging goals along with appropriate feedback contribute significantly to motivation and performance, by focusing effort and fostering persistence.

Specific Goals

Clear, well-defined objectives that are measurable and time-bound, facilitating targeted actions and evaluations.

Feedback

Information or responses provided about a person's actions or performance, intended to guide future behavior or improvement.