Chapter 30: Problem 38

Which one of the following is the most accurate statement? (LO4) a) Our poverty rate is somewhat higher today than it was in \(1999 .\) b) Our poverty rate is over 15 percent. c) If it were not for the 2007-2009 recession, our poverty rate would probably be below 10 percent. d) Our poverty rate is currently at an all-time low.

Short Answer

Expert verified

Although none of the statements are entirely accurate, based on the analysis and context of each statement, statement a is the most accurate of the options despite not being entirely correct. It suggests that the poverty rate is somewhat higher today than it was in 1999; however, based on historical data, the poverty rate in 1999 was around 11.9%, while as of 2020, it is approximately 10.5%.

Step by step solution

Review each statement independently

We will analyze each of the given statements to evaluate if they are accurate based on available data pertaining to United States poverty rates.

Statement a: Poverty rate comparison between now and 1999

Statement a says that the poverty rate is somewhat higher today than it was in 1999. To determine this, the student must have general knowledge of poverty rate levels in the given years or conduct research to confirm the data. However, based on historical data, in 1999, the US poverty rate was around 11.9%, while as of 2020, it is approximately 10.5%. Therefore, this statement is not accurate.

Statement b: Poverty rate over 15 percent

Statement b states that the poverty rate is currently over 15%. As mentioned earlier, the poverty rate as of 2020 is approximately 10.5%. Hence, this statement is also not accurate.

Statement c: Poverty rate would be below 10% if not for the 2007-2009 recession

Statement c suggests that without the 2007-2009 recession, the poverty rate would likely be below 10%. The 2007-2009 recession did impact poverty rates, causing them to increase. However, it is speculative to assume the rate would be below 10% without the recession. Any global or regional crisis can affect poverty rates, and it is not solely dependent on one event like the 2007-2009 recession. Therefore, this statement lacks the accuracy needed to be deemed the most accurate.

Statement d: Poverty rate is at an all-time low

Statement d claims that the poverty rate is currently at an all-time low. As of 2020, the poverty rate is approximately 10.5%, lower than the rates since 1990, but higher than the rate in the late 1960s and early 1970s. Hence, this statement is also not completely accurate.

Choose the most accurate statement

Of all the given statements, none of them are entirely accurate. However, it is important to pick the most accurate among them. Based on the analysis and context of each statement, statement a is the most accurate of the options despite not being entirely correct. Note that data may change in the future, and findings could vary based on new data, but based on information available during the time of the question, statement a is the relatively most accurate option.