What best describes relative poverty?
A 12-year-old boy has never been able to access a doctor or school.
A person earns less than the minimum defined level of income.
A person has a lower living standard than the minimum level acceptable in a society.
A person is unable to afford the basic necessities of life.
C
In many high-income economies, increasing income inequality has led to greater levels of poverty.
Which combination of policies would aim to reduce income inequality?
fiscal policy
supply-side policy
decrease corporation tax
create more competition
increase income tax
reduce the power of trade unions
increase inheritance tax
increase the national minimum wage
increase sales tax
privatise more public sector firms
C
During a recession, many people in a city become unemployed and their incomes fall. Some people can no longer pay the rent on their houses or buy the food they need.
What is the effect of the recession in the city?
absolute poverty
relative poverty
increases
increases
increases
unchanged
unchanged
increases
unchanged
unchanged
A