Which of the following is a safety net program that redistributes income?

• A. Minimum wage laws
• B. Antitrust laws
• C. Medicaid
• D. Environmental Protection Agency regulations

Answer: (C)

Verified step by step guidance

1. Understand the concept of a safety net program: These are government programs designed to provide financial support or services to individuals or families in need, helping to redistribute income and reduce poverty.
2. Review each option to determine if it fits the definition of a safety net program that redistributes income:
3. Minimum wage laws set a legal minimum for wages but do not directly redistribute income through government transfers; they influence income distribution indirectly by affecting wages.
4. Antitrust laws regulate competition to prevent monopolies but do not provide direct income redistribution or financial support to individuals.
5. Medicaid is a government program that provides healthcare services to low-income individuals and families, effectively redistributing income by offering benefits to those in need.
6. Environmental Protection Agency regulations focus on environmental standards and do not serve as income redistribution or safety net programs.