Which of the following is an unintended consequence of welfare?
a. A low marginal tax rate on earned income for welfare recipients.
b. A reduced incentive to leave welfare if more benefits are lost when income begins to be earned.
c. A lower probability that children of families on welfare will themselves receive welfare.
d. A welfare recipient becomes more productive, increasing the expected wage.
b
You might also like to view...
An increase in education and training
A) increases labor productivity. B) increases aggregate hours. C) decreases real GDP growth. D) increases the employment-to-population ratio.
In the new classical view, an anticipated decrease in government spending would be expected to
a. lower output and the price level. b. lower output but leave the price level unchanged. c. leave output unchanged and raise the price level. d. leave output unchanged and lower the price level. e. leave both output and the price level unchanged.
In the short run, suppose average total cost is a straight line and marginal cost is positive and constant. Then, we know that fixed costs must:
A) be declining with output. B) be positive. C) equal zero. D) We do not have enough information to answer this question.
Which of the following best describes the services provided by the Federal Reserve?
a. The Federal Reserve provides banking services to commercial banks and other depository institutions but does not provide banking services to the federal government. b. The Federal Reserve does not provide banking services to commercial banks and other depository institutions but provides banking services to the federal government. c. The Federal Reserve provides banking services to commercial banks and other depository institutions and provides banking services to the federal government. d. The Federal Reserve does not provide banking services to commercial banks and other depository institutions and does not provide banking services to the federal government.