The Income Reduction Hypothesis Wrongly Assumes That Public Assistance Reduces

question 30

Multiple Choice

The Income Reduction Hypothesis wrongly assumes that public assistance reduces poverty, ignoring the fact that recipients must remain poor in order to continue receiving benefits and that:

• A) poor people like being poor, because it allows them to work less.
• B) poor people are more motivated than other classes.
• C) large amounts of income transfers go to middle class people.
• D) working class people are often formerly poor.
• E) poverty appears to be linked to genetics.

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Definitions:

Self-esteem

An individual's subjective evaluation of their own worth or value.

Work Environments

The physical and social settings in which people carry out their job duties, including factors like office layout, culture, policies, and coworkers.

Positive Feedback

A response mechanism that reinforces a particular behavior or performance, encouraging its recurrence by highlighting its benefits or successes.

Inflated Self-esteem

An excessively high regard for one's abilities or worth, often not aligned with reality and potentially leading to negative consequences.