Which of the Following Explains the Rise in Income Inequality

question 374

Multiple Choice

Which of the following explains the rise in income inequality in the United States from 1970 to 2008?

• A) An increase in minimum wages.
• B) An increase in the demand for skilled labor.
• C) An increase in the demand for unskilled labor.
• D) Reduced international trade with low-wage countries.

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Definitions:

Perception Influences

Pertains to how one's understanding and interpretation of the world are affected by personal experiences and biases.

Past Experiences

Events or occurrences from an individual's life that influence their behaviors, decisions, and perceptions in the present.

Stereotypes

Oversimplified generalizations about a group or category of people that may or may not accurately reflect reality.

Perceptual Error

A mistake in judgment or interpretation due to incorrect or inaccurate perception of information.