Question

Which of these is/are a transfer payments(s)?

• A. Pension
• B. Scholarship
• C. Unemployment allowance
• D. All of the above

Answer 1

The correct option is D All of the above

A payment made or income received in which no goods or services are being paid for is called transfer payment. It is a sort of one way payment. Hence, pension, scholarship and unemployment allowance falls in this category. Hence, they are all transfer payments.