A Social Welfare State Is

question 31

Multiple Choice

A social welfare state is

• A) another name for state socialism, with central planning, guaranteed employment, and mandated prices.
• B) a society with government programs that pool citizens' money into insurance deposits for use during a crisis.
• C) any society that guarantees a floor income below which no citizen can fall, regardless of ability to work.
• D) a society with a set of government programs that protect the minimum standards of living for people.
• E) a society based exclusively on the free market and individualism.

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Definitions:

Future Transactions

Financial dealings or agreements set to occur at a future date, often involving the purchase or sale of goods, services, or assets.

Separate Entity Assumption

Business transactions are separate from the transactions of owners.

Liabilities

Obligations owed by a business to individuals or other entities, ranging from loans and mortgages to accounts payable.

Continuity Assumption

An accounting principle that assumes the business will continue operating indefinitely, not being forced to cease operations or liquidate.