American Institute of Certified Planners (AICP) Practice Exam

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An urban area defined as depressed and eligible for special government assistance is known as?

Enterprise zone.
Empowerment zone.
Economic development zone.
Revitalization area.

The correct answer is: Empowerment zone.

An urban area defined as depressed and eligible for special government assistance is known as an empowerment zone. This designation is part of a federal program aimed at alleviating poverty and promoting economic development in distressed neighborhoods. Empowerment zones provide various incentives for businesses and residents, such as tax benefits and grants, with the goal of fostering job creation and improving the quality of life for the community. The concept of empowerment zones emphasizes community involvement and empowerment, encouraging local stakeholders to participate in the revitalization process. This contrasts with other designations, which may focus more broadly on economic development without the targeted support and community engagement that empowerment zones prioritize.