One Cost-Of-Living Indicator Available on the Internet Shows That a Salary

question 34

Multiple Choice

One cost-of-living indicator available on the Internet shows that a salary of $40,000 in Santa Barbara, California, is equivalent to $14,000 in Wichita, Kansas. This is primarily because of housing, which is much less expensive in Wichita. What does this difference say about how the federal government calculates poverty?

• A) It highlights something the poverty line shows us: that poverty is connected to the local cost of living, reflected in the differences in rates of poverty in different parts of the country.
• B) It shows that the poverty line is more or less accurate, because it has been recalibrated to take into account housing costs.
• C) It doesn't really relate to the way the government calculates the poverty line, because the cost of food is the biggest item in most families' budgets.
• D) It points to a flaw in the way the government calculates the poverty line, as the standard is uniformly applied without regard to regional differences.
• E) It points to a flaw in the way the government calculates the poverty line, as it proves there are far more poor people in the Midwest.

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Definitions:

Hypothesis

A tentative statement about a particular relationship (between objects, people, or groups of people) that can be tested empirically.

Tentative Statement

A provisionary or preliminary statement made with uncertainty, subject to further verification or investigation.

Deductive Presupposition

A logical process where general principles are applied to make specific assumptions or deductions.

Dependent Variable

In research, it's the variable being tested and measured, which is expected to change as a result of manipulations of the independent variable.