Which of the Following Examples of Inequality Is Best Explained

question 82

Multiple Choice

Which of the following examples of inequality is best explained on the macro level?

• A) Despite his Princeton degree in economics, Miguel is unable to find a job anywhere but McDonald's.
• B) Jasmina, an African American woman, goes to Yale and becomes a doctor like her father.
• C) Yu works hard in school and wins a scholarship to study in the U.S. despite his family's low social class in China.
• D) Olga has difficulty passing high school courses and, like her parents before her, decides not to attend college.

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Definitions:

Net Realizable Value

The estimated selling price of goods, minus the costs of their sale or disposal, used in accounting to determine the value of an asset in the balance sheet.

Unrealized Loss

A decrease in the value of an investment or asset that has not been sold, hence the loss has not been realized.

Fair Value Adjustment

A correction made to the reported value of an asset or liability to align it with its market value.

Discounted Note

A debt instrument that is sold or issued for less than its face value and whose return comes from the difference between the purchase price and the face value paid at maturity.