25. Which of the following statements is correct? a. A disadvantage of a minimum-wage law is that it may benefit unskilled workers who are low income workers. b. A disadvantage of a negative income tax program is that a poor person who chooses not to work many hours would not receive a cash benefit. c. There are no disadvantages to minimum-wage laws,

Principles of Economics 2e
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ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter15: Poverty And Economic Inequality
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Problem 6SCQ: A group 0f 10 people have the following annual incomes:...
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25. Which of the following statements is correct?
a. A disadvantage of a minimum-wage law is that it
may benefit unskilled workers who are low income
workers.
b. A disadvantage of a negative income tax program is
that a poor person who chooses not to work many
hours would not receive a cash benefit.
c. There are no disadvantages to minimum-wage laws,
negative income taxes, or the Earned Income Tax
Credit (EITC).
d. A disadvantage of an Earned Income Tax Credit
(EITC) is that a person who is unable to work due to
a disability does not benefit from the program.
Transcribed Image Text:25. Which of the following statements is correct? a. A disadvantage of a minimum-wage law is that it may benefit unskilled workers who are low income workers. b. A disadvantage of a negative income tax program is that a poor person who chooses not to work many hours would not receive a cash benefit. c. There are no disadvantages to minimum-wage laws, negative income taxes, or the Earned Income Tax Credit (EITC). d. A disadvantage of an Earned Income Tax Credit (EITC) is that a person who is unable to work due to a disability does not benefit from the program.
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