Business, 19.10.2021 14:00 bobtothemaxthe1st
Suppose that the following data for a two-person family:
1. Official poverty rate 15.0% 16.0%
2. Official poverty line $10,000
3. Relative poverty line $10,000
4. Subjective poverty line $10,000
5. Median family income $20,000 $21,000 (current dollars)
6. Consumer Price Index (CPI) 100 110
Compute the following:
A. The official poverty line for a family of 2 in 1996.
B. The relative poverty line for a family of 2 in 1996.
C. The subjective poverty line in 1996 if elasticity of the subjective poverty line with respect to median family income is 0.6.
Answers: 1
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Suppose that the following data for a two-person family:
1. Official poverty rate 15.0% 16.0%
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