Which of the Following Is Not Correct

question 315

Multiple Choice

Which of the following is not correct?

• A)Many measures of inequality are based on income, which may not reflect a person's standard of living.
• B)Because many of the poorest families receive in-kind transfers, more families have lower standards of living when compared to poverty rates based on income.
• C)Because people can borrow and save to smooth out life cycle changes in income, equality measures based only on income may not reflect a person's standard of living.
• D)A person's standard of living depends more on her permanent income than her transitory income, so inequality measures based on current income may be misleading.

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Definitions:

Sherman Act

A foundational antitrust law in the United States aimed at promoting competitive markets by prohibiting certain business activities that reduce competition.

Credit Sales

Transactions where goods or services are provided to the buyer with the agreement that payment will be made at a later date.

Sherman Act

A foundational U.S. antitrust law enacted in 1890, aimed at prohibiting monopolistic practices and promoting competitive markets.

Monopoly Power

The exclusive control by one company over the entire supply of goods or services in a particular market.