Which of the following statements is true? 1)Economic growth always reduces inequality. 2) Economic growth always reduces poverty. 3) Economic growth is ineffective in reducing both poverty and inequality. 4) Economic growth can reduce poverty only if it is not associated with a significant rise in inequality.
Which of the following statements is true? 1)Economic growth always reduces inequality. 2) Economic growth always reduces poverty. 3) Economic growth is ineffective in reducing both poverty and inequality. 4) Economic growth can reduce poverty only if it is not associated with a significant rise in inequality.
Chapter33: Income, Income Distribution, And Poverty
Section: Chapter Questions
Problem 5E
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![Which of the following statements is true?
1) Economic growth always reduces inequality.
2) Economic growth always reduces poverty.
3) Economic growth is ineffective in reducing both poverty and inequality.
4) Economic growth can reduce poverty only if it is not associated with a
significant rise in inequality.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3ed9aa16-3cfc-4077-a6f7-8048c620d457%2Fae2b5c95-c8a4-4a70-9e46-d4382fa0e2bd%2F23h276n_processed.png&w=3840&q=75)
Transcribed Image Text:Which of the following statements is true?
1) Economic growth always reduces inequality.
2) Economic growth always reduces poverty.
3) Economic growth is ineffective in reducing both poverty and inequality.
4) Economic growth can reduce poverty only if it is not associated with a
significant rise in inequality.
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