Studied by 3 peopleInequalities of opportunities
________: when a person isn't earning as much, meaning they cant afford to buy assets.
Minimum wage
________: minimum amount of remuneration that an employer can legally pay a worker.
Transfer payments
________: governments use tax revenues to redistribute income and provide different types of assistance to groups in the economy to improve their living standards and opportunities.
Progressive income
________ tax structure which makes the distribution of income more equal will offset to some extent by the countrys indirect taxes.
lack of equity
Raising levels of inequality in income, wealth, and opportunity reflect a(n) ________.
Indirect taxes
________ care an important source of revenue for governments, and can be used to discourage the consumption of goods that create negative externalities.
Inequality
________ is inevitable since it influences productivity.
Equity
fairness in opportunities given to people despite their differences
Equality
disparities in incomes and wealth given to people
Inequality in outcomes
inequalities in income and wealth
Inequalities of opportunities
when a person isn't earning as much, meaning they cant afford to buy assets
PPP, purchasing power parity
means that it will buy approximately the same amount of goods and services in any country
Transfer payments
governments use tax revenues to redistribute income and provide different types of assistance to groups in the economy to improve their living standards and opportunities
Minimum wage
minimum amount of remuneration that an employer can legally pay a worker
Equity
fairness in opportunities given to people despite their differences
Equality
disparities in incomes and wealth given to people
Inequality
is not determined by the level of national income
Inequality in outcomes
inequalities in income and wealth
Inequalities of opportunities
when a person isn't earning as much, meaning they cant afford to buy assets
PPP, purchasing power parity
means that it will buy approximately the same amount of goods and services in any country
Multidimensional Poverty Index (MPI) \n
people who are in extreme poverty and lack the three dimensions: education, healthy, and standard of living
Consequences of inequality and poverty
Harms economic growth
Decreased quantity of living standards and social stability
Minimum wage
minimum amount of remuneration that an employer can legally pay a worker
Progressive income tax structure
makes the distribution of income more equal will offset to some extent by the country’s indirect taxes
Note
Flashcard