Policies That Reduce the Incentive for Households to Save Include

question 29

Multiple Choice

Policies that reduce the incentive for households to save include

• A)means-testing.
• B)College and university financial aid administration.
• C)inheritance taxes.
• D)All of the above.

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Definitions:

Capital Deficiency

A situation where a company's liabilities exceed its assets, indicating financial distress.

Income Ratio

A financial metric that compares different types of income to a common base, such as net income to sales, to evaluate financial performance.

Cash Distribution

The process of distributing or paying out cash from a corporation to its shareholders, often in the form of dividends.

Capital Deficiency

A situation where a company's liabilities exceed its assets, indicating financial distress or bankruptcy risk.