The Text Estimates That About 40 Percent of the Income

question 17

Multiple Choice

The text estimates that about 40 percent of the income of people age 65 and older is from

• A) earnings on investments and savings.
• B) Social Security benefits and related federal programs.
• C) employee pensions.
• D) gifts and other sources.

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Definitions:

Minimum-Wage Laws

A legal framework that specifies the minimum hourly earnings employers are obliged to pay their staff.

Lowest Wage

The minimum amount of compensation an employer is legally allowed to pay to workers, also known as minimum wage.

Free Market

An economic system where prices for goods and services are determined by the open market and by consumers, with minimal government intervention.

Market Price

Today's rate at which one can sell or buy a service or asset.