Which of the Following Is True

question 38

Multiple Choice

Which of the following is true?

• A) In the last decade, the rich have increased their share of the nation's income.
• B) In the last decade, after adjusting for inflation, the hourly wages of average workers have remained flat.
• C) At the end of the last decade, there are more millionaires and billionaires.
• D) The top 50 percent of earners pay nearly 100% of the federal income tax.
• E) All of the above are true.

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Definitions:

CPI

This index, known as the Consumer Price Index, evaluates the price variation of a diversified basket of consumer goods and services, factoring in food, transport, and healthcare, by employing a weighted average method.

GDP Deflator

An economic metric that converts output measured at current prices into constant-dollar GDP, removing the effect of inflation.

Prices Rising

An economic scenario where the general level of prices for goods and services is increasing over time, often referred to as inflation.

CPI

A gauge called the Consumer Price Index assesses the weighted average price shifts in a collection of consumer products and services, encompassing areas like food, healthcare, and transportation.