Risk-Taking Contributes to Income Inequality Because

question 25

Multiple Choice

Risk-taking contributes to income inequality because:

• A)regardless of the size of the risk, the returns of risk-taking remain fairly constant
• B)the rewards from risk-taking fluctuate widely
• C)all risk-takers are characteristically high-income earners
• D)all risk-takers face the threat of bankruptcy
• E)all risk-takers receive financial help from governments

---

Definitions:

Early Civilizations

The initial advanced societies that emerged around various parts of the world, characterized by the development of cities, writing systems, centralized governments, and complex social structures.

State Development

The process through which a centralized organization (the state) emerges and solidifies power within a society, often involving institution building and social stratification.

Leadership

The action of leading a group or organization, or the ability to do this.

Ancient Maya

A Mesoamerican civilization known for its hieroglyphic script, architecture, mathematics, calendar, and astronomical system, flourishing in present-day Mexico, Guatemala, Belize, Honduras, and El Salvador.