Economics 2281 · O Level · Poverty

Poverty — practice question

When a recession occurs, many people in a city lose their jobs and their incomes decrease. Some people can no longer afford to pay rent for their homes or to purchase the food they need. What is the effect of the recession in the city?

  • Aabsolute poverty increases; relative poverty increases
  • Babsolute poverty increases; relative poverty unchanged
  • Cabsolute poverty unchanged; relative poverty increases
  • Dabsolute poverty unchanged; relative poverty unchanged

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