mdcat logical reasoning MCQ #651

A government implements a policy to reduce income inequality, resulting in increased economic growth. What is the probable cause of this effect?

mdcat logical reasoning MCQ #651

  1. Question 1

    Q1. A government implements a policy to reduce income inequality, resulting in increased economic growth. What is the probable cause of this effect?

    • A) Increased consumer spending due to higher minimum wage
    • B) Reduced tax burden on low-income households
    • C) Improved access to education and job training
    • D) Decreased government spending on social welfare programs

    Answer: Increased consumer spending due to higher minimum wage

    Explanation: Higher minimum wage boosts consumer spending, driving growth. USAT, HAT and MDCAT analytical sections repeat this pattern.