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14 April, 10:27

Setting a specific income level and then defining a person (or household) as poor if his or her (or its) income falls below that income level is called a (n) : Select one: a. means-tested test. b. relative income test. c. absolute income test. d. nominal income test.

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  1. 14 April, 11:35
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    Answer: Option (c) is correct.

    Explanation:

    Correct: Absolute income test

    Absolute income test is a measure of poverty in a country. In absolute income test, there is a setting of income level that is the benchmark for the poverty. This means that if a person's income falls above this income level then he is not considered as poor whereas if a person's income falls below this income level then he regarded as poor.
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