Answer to Question #113168 in Macroeconomics for Brittany Braxton

Question

Which of the following indicators will most likely increase as a result of the increase in the U.S. poverty rate?

Life expectancy


Income polarization


Wealth mobility


Employment rate

Answer 1

Wealth mobility will most likely increase as a result of the increase in the U.S. poverty rate because there will be downward wealth mobility.

• increase in Wealth mobility: is the gradual changes of income/wealth among people in a community. It can be upward (poor become rich) or downward mobility (rich become poor). from one social class to another social class.

• increase poverty leads to decrease Life expectancy: life expectancy increase continually with increase in income

• increase poverty rate can cause a decrease in Income polarization: income flows within the country

• decrease Employment rate will happen has a result of increase poverty among citizen.