Government introduces a new income guarantee program for low-income families. Consider the program with an income guarantee of $5000 and a benefit reductionrate of 25%. A person can work up to 2,000 hours per year at $15 per hour.a. Draw the person's budget constraint without and with the income guarantee. Label as many things as you humanly can.b. Who would be affected by this program and who would not (use yearly income and number of hours worked to describe the affected and unaffected groups)?

Income Guarantee = $5000 benefit reduction rate = 25% The person can work up to 2,000 hours/year at…

Answered: Government introduces a new income…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Please answer 1, 2, and 3! Susan is a single mother with three children. She can earn $8 per hour and works up to 2,000 hours per year. However, if she does not earn any income at all, she will receive government benefits totaling $16,000 per year. For every $1 of income she earns, her level of government support will be reduced by $1. The table below is patterned after Table 15.8 from the text. Number of Work Hours Earnings from Work Government Benefits Total Income 2000 $16,000 $0 $16,000 1600 $16,000 1200 $16,000 800 $16,000 400 $3200 $12,800 $16,000 0 $0 $16,000 $16,000 Complete the table. Is this program an example of a poverty trap? Explain your answer. If this program is an example of a poverty trap, how can this program be altered to avoid this problem?
You have already saved $55. You earn $9 per hour at your job. You are saving for a bicycle that costs $199. Which inequality represents the possible numbers of hours you need to work to buy the bicycle?
In the government of a country's budget the finance minister proposed to raise the tax on cigarettes. He also proposed to increase income tax on individuals earning more than $100,000 per annum. What possible welfare objective can you think of from these proposals?
Poverty is measured by the number of people who fall below a certain level of income—called the poverty line—that defines the income one needs for a basic standard of living. The official definition of the poverty line traces back to Group of answer choices A)The Great Depression B)Mollie Orshansky, whose idea was to define a poverty line based on the cost of a healthy diet. C)1953 and the ability to pay for housing and food. D)The 1965 cost of providing food, housing, and transportation.
One of the major problems in dealing with any welfare program is the tension between individual and social responsibility- Medicare is no different. Should adult children be responsible for the medical expenses of their parents? No. Where does individual and familiar Responsibility end and social responsibility begin?
Suppose the village of Utopia has 5 households, with expenditure levels [1, 4, 5, 9 and 13]. Suppose the poverty line is 5. Draw the poverty profile for Utopia, including the poverty line. Calculate P0, P1, and P2 for this village. Suppose you have a budget of 4 to spend on reducing poverty in this village. How you would allocate this budget if your objective was to mostly reduce P0, P1, or P2, respectively?
Which statement is correct regarding income guarantee programs? a-Preferences are not relevant in evaluating the costs of income guarantee programs. b-Workers generally work more with income guarantee programs with less than 100% reduction rates. c-Workers generally prefer income guarantee programs with 100% reduction rates. d-There is no benefit reduction rate guaranteed to maximize hours worked.
please label the two questions with the correct answers thank you
Evaluate whether each statement is true or false and provide a one- or two- sentence explanation for your answer. 7. The ACA’s employer mandate says that the only reason employers with more than 50 employees would receive a penalty is if they do not offer health insurance coverage to their employees. 8. The ACA required that all states expand Medicaid eligibility to all nonelderly individuals who earned below 138% of the federal poverty line. 9. The ACA resulted in a large decrease in the rate of people without insurance in the US; this decline primarily came from people gaining insurance through Medicaid expansion
Name two factors that explain a decrease in the use of incarceration?

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