The Main Difference Between the Old and New Poor Is

question 129

Multiple Choice

The main difference between the old and new poor is _______.

• A) the new poor can move on to find better jobs elsewhere
• B) the new poor are more trapped in poverty
• C) the old poor had no hope of rising out of poverty
• D) the old poor were more positively viewed by society at large

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Definitions:

Tax on Consumption

A levy placed on the spending on goods and services, often implemented through sales tax or value-added tax (VAT).

Standard of Living

The level of wealth, comfort, material goods, and necessities available to a certain socioeconomic class or geographic area.

Saving

The process of setting aside a portion of current income for future use, either by depositing money in a bank or purchasing financial instruments.

Benefits-Received Principle

A theory of fairness holding that taxpayers should contribute to government (in the form of taxes) in proportion to the benefits they receive from public expenditures.