Assume that Ava is a single parent who is in poverty. She receives food stamps and Medicaid. For every $100 that she earns, Ava loses $20 of her food stamp benefits and $15 in her Medicaid benefits. Ava's implicit marginal tax rate from these two programs is
a. 20 percent.
b. 30 percent.
c. 35 percent.
d. 45 percent.
C
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Which of the following statements is false?
A) A straight line has a slope of zero. B) A curved line has slope values that change at every point. C) A direct relationship has a positive slope value. D) An inverse relationship has a negative slope value.
A monopolist union that desired to maximize its total wage bill ( ) would offer that quantity of labor for which
a. labor's marginal productivity is zero. b. labor's wage falls to zero. c. the quantity of labor hired is as great as possible given the firm's demand curve. d. the marginal revenue from providing one more worker to the market is zero.
A good produced in 2009 and held in inventory until it is sold in 2010 would be included in which measure of GDP?
a. Half the value in 2009 and half the value in 2010 b. In 2010 GDP c. In both 2009 and 2010 GDP d. In 2009 GDP
One of the underlying assumptions made when drawing the short-run aggregate supply curve is that: a. average wages and resource costs tend to be sticky in the short run
b. there are many buyers and sellers who are price takers. c. sellers offer differentiated products in the short run. d. capital is perfectly mobile between different industrial sectors in the short run.