Income is a poor measure of relative position when attempting to determine horizontal equity.
A) True
B) False
C) Uncertain

Question

Quizplus · Accepted Answer

Horizontal equity is concerned with treating equals equally. Income alone cannot determine an individual's relative position as it does not take into consideration other factors that may affect their ability to contribute or receive benefits. For example, two people may have the same income, but one may have more expenses or dependents, making their financial position different. Therefore, income should not be the sole measure of horizontal equity.

Income Is a Poor Measure of Relative Position When Attempting