Means-Tested Income Transfers Refer to

question 75

Multiple Choice

Means-tested income transfers refer to

• A) the average amount of the annual governmental transfers.
• B) transfers that are limited to families with an income below a certain cutoff point.
• C) income transfers that are specifically paid for by the top 1 percent (wealthiest) of tax payers.
• D) none of the above.

---

Definitions:

Partial Equilibrium

An analysis focusing on the equilibrium in a single market without considering its effects on or from other markets.

Equilibrium Conditions

A state in a market where the quantity of a good supplied equals the quantity demanded, resulting in market stability and no pressure for price changes.

Supply Curve

A graphical representation that shows the relationship between the price of a good or service and the quantity that suppliers are willing to offer for sale over a given period.

Capital Flow

The movement of money for the purpose of investment, trade, or business production.