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Economics_Poverty

Total questions: 15

Worksheet time: 8mins

Name
Class
Date
1.

Which is the least likely to be an indicator of poverty in an economy?

a)

inadequate income

b)

unemployment

c)

hunger and malnutrition

d)

homelessness and inadequate housing

2.

What exists when there is an average income that equals to or less than $1.25 per day?

a)

poverty line

b)

relative poverty

c)

absolute poverty

d)

poverty trap

3.

Which is not a UN Sustainable Develoopment Goals (SDG)?

a)

reduced inequalities

b)

zero hunger

c)

clean water and sanitation

d)

reduce, reuse, recycle

4.

Which is least likely to be a cause of poverty?

a)

low literacy rates

b)

low GDP per capita

c)

high rates of tax

d)

high public debt

5.

What is experienced by those who have a lower standard of living in comparison to the average member of society?

a)

absolute poverty

b)

relative poverty

c)

poverty line

d)

poverty trap

6.

When a group of poor people rely much on the benefits given by government and they would not want to seek for jobs, this is known as ....

a)

market failure

b)

subsidies failure

c)

poverty trap

d)

regressive benefits

7.

A tax that is charged the same irrespective of the people's income, is known as ....

a)

indirect tax

b)

regressive tax

c)

progressive tax

d)

proportional tax

8.

Which of the following country has experienced a hyper-inflation?

a)

Venezuela

b)

Mexico

c)

Canada

d)

Brazil

9.

The following policies are able to alleviate poverty in a country, except ....

a)

state benefits

b)

progressive tax

c)

increase in income tax

d)

increase in NMW

10.

In order to alleviate poverty, a country needs to prioritize its output on .....

a)

quarternary sector

b)

tertiary sector

c)

secondary sector

d)

primary sector

11.

Which of the following policies would give people an incentive to save?

a)

higher income tax rates

b)

banks make it easier to borrow money

c)

higher interest rates

d)

lower interest rates

12.

Which of the following is likely to cause a decrease in consumer spending?

a)

an increase in the rate of inflation

b)

a decrease in interest rates

c)

an increase in government spending on healthcare and education

d)

an increase in business and consumer confidence in the economy

13.

A government is concerned about the level of household borrowing in an economy. Which of the following may have caused an increase in borrowing?

a)

an increase in real wages

b)

an increase in interest rates

c)

negative economic outlook for the economy

d)

an increase in direct and indirect taxes

14.

Which of the following reason that makes a graduate chooses to work in the public sector than the private sector?

a)

more opportunities to earn bonuses

b)

higher earning potential

c)

better promotion prospects and career progression

d)

greater job security and pension

15.

Following an increase in the NMW, which is most likely to reduce government expenditure on welfare payments?

a)

increased consumer spending in the economy

b)

increased tax revenues from higher income taxes

c)

unemployed workers having a greater incentive to work

d)

greater productivity of public sector workers