A Policy Maker Wants to Recalculate Poverty Based on a Set

question 21

Multiple Choice

A policy maker wants to recalculate poverty based on a set percentage of the median income for each metropolitan area in the United States instead of a national average.This is an example of ________ poverty.

• A) absolute
• B) relative
• C) median
• D) variable

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Definitions:

Digital Option

A type of option that pays either a fixed amount of cash or nothing at all, depending on whether a certain condition is met at expiration.

Jobless Claims

The number of unemployed individuals who are actively seeking employment and have filed for unemployment benefits.

Strike Price

The predetermined price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying security or commodity.

Warrants

Financial instruments that give the holder the right to buy a company's stock at a specified price until the expiration date.