Which of the Following Statements Is True Concerning the Earned

question 25

Multiple Choice

Which of the following statements is true concerning the Earned Income Tax Credit (EITC) ?

• A) The EITC is a non-refundable credit that can be claimed by poor families with children
• B) The EITC lifts many people out of poverty, but it does not change official poverty rates
• C) The EITC is a true negative income tax scheme
• D) The EITC was introduced as part of the welfare reform measures enacted during the mid-1990s
• E) None of the above

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Definitions:

Frequencies

The number of times a particular data point appears in a set of data.

Nominal Variable

A variable used in statistics to label or categorize without a natural order or ranking.

Interval

A range of values between two points, often used in mathematics and statistics to denote a specific span of numbers.

Time-series Data

Data that consists of sequence of values or events obtained over successive times, often analyzed to understand trends, cycles, or predictions.