Final answer:
The student's question refers to the concepts of money and wealth, with 'Money' being the medium used for purchases and 'Wealth' being the total value of assets minus debts. The correct answer is D) Money; wealth.
Step-by-step explanation:
The correct answer to the student's question is D) Money; wealth. Money is used to make purchases—it is a medium of exchange and a means through which we can buy goods and services. Wealth, on the other hand, is the total collection of pieces of property that serve to store value. It includes all assets such as bank accounts, investments, real estate, and personal possessions, minus any debts.
To measure wealth versus income inequality, one must recognize that income is a flow of money received, often measured on a monthly or annual basis, while wealth represents the accumulated value of assets over time after subtracting debts. For example, a retired person might have a modest pension or Social Security as income but could have a significant amount of wealth accumulated through savings and investments.