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The Ultimate How Much Money Do You Really Need to Live Quiz
by Staff
Many people experience a time in their lives when they are financially tight. You look back on things you spent your money on and wish you had saved it instead. When making purchase decisions, it's often difficult to decide whether we really should be buying something or not. Take our quiz and learn how much money you really need to live on.

What did economist Julian Simon say about the economic situation today?

  • "There is no such thing as a free lunch, but at least its getting cheaper and cheaper."
  • "Credit cards are responsible for most of America's financial woes."
  • "Inflation has never been so high in the history of mankind."

How can we work out how much we really need to live?

  • Compare your lifestyle to that of the average American and either pare back or spend more.
  • Keep a running record of all our purchases.
  • Separate our wants from our needs.

What major factor contributes to how we decide what we need to live?

  • how we were brought up
  • social pressure
  • our personality

How does the U.S. government measure poverty?

  • through gauging relative poverty -- your income as compared to the median income
  • through measuring absolute poverty -- based on the costs of housing and food.
  • whether people cannot afford the four basics: food, clothing, shelter and heating.

How did Mollie Orshansky define the poverty threshold?

  • by adding up the costs of foods that make up an adequate diet, and multiplying it by three
  • by adding up the costs of foods that make up an adequate diet, and multiplying it by 10
  • by working out the average costs of food and housing in each state, and dividing it by the number of states

Currently what percentage of income is spent on food in the average American family?

  • one third
  • one seventh
  • one tenth

What percentage of America's poor own televisions?

  • 20 percent
  • 85 percent
  • 97 percent

What causes people to make unnecessary purchases?

  • poor mathematical ability
  • their lack of self control
  • the accessibility of credit

Why is buying generic products a good idea?

  • They are generally cheaper and are identical to branded products.
  • You won't overbuy; their quality is so poor.
  • They are generally cheaper and almost as good.

What is a good, inexpensive protein source?

  • spare ribs
  • eggs
  • cheese

When should you buy an item on sale?

  • Buy it only if you need it.
  • Buy it if it is more than 20 percent off.
  • You shouldn't buy it -- retailers usually hike up the price before putting it on sale.

What is the average annual amount people spend on buying lunch?

  • $ 120
  • $ 480
  • $ 960

What is the downside of buying health foods?

  • They don't taste as good.
  • They are pricier.
  • They are only available in select stores.

What is the poverty threshold in the U.S.?

  • $ 10,590
  • $ 15,640
  • $ 18,980

Why do some people say they are against raising the minimum wage?

  • The economy does better with minimal government interference, including setting wages.
  • It won't help reduce poverty; people will just waste whatever they earn.
  • It will cause more poverty in the long run, with employers downsizing because of the extra cost of paying employers.