A Common Criticism of Government Programs That Are Designed to Assist

question 189

Multiple Choice

A common criticism of government programs that are designed to assist the poor is that

• A)those who receive assistance rarely meet the criterion for eligibility.
• B)the majority of those below the poverty line refuse to accept government assistance.
• C)they create incentives for people to become "needy."
• D)they typically account for a majority of annual government expenditures.

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Definitions:

Return on Investment

A metric for assessing the effectiveness or gains of an investment, determined by dividing the net earnings by the investment's expense.

Minimum Return on Investment

The least amount of profit expected from an investment, below which an investment is not considered acceptable.

Investment Turnover

A measure of a company's ability to generate sales from its investment in assets, typically used to assess the efficiency of investment usage.

Profit Margin

A ratio of profitability calculated as net income divided by revenue, showing the percentage of each dollar of revenue that results in net income.