Asked by maisha ahmed on Jul 12, 2024
Verified
Taxes on labor encourage which of the following?
A) Labor demand to be more inelastic
B) Mothers to stay at home rather than work in the labor force
C) Workers to work overtime
D) Fathers to take on second jobs
Taxes Labor
Fiscal charges imposed on income earned from labor, either through employment or self-employment.
Labor Demand
The quantity of labor that employers are willing and able to hire at a given wage rate, in a given time period.
- Ascertain the essential features of labor market adaptations to tax policies.
- Comprehend the effects of alterations in taxation on the decisions regarding labor supply.
Verified Answer
AG
Aba Gyesiwah ArhinJul 13, 2024
Final Answer :
B
Explanation :
Taxes on labor increase the cost of working, which can make staying at home a more attractive option for mothers (or any primary caregiver) by reducing the net income from working.
Learning Objectives
- Ascertain the essential features of labor market adaptations to tax policies.
- Comprehend the effects of alterations in taxation on the decisions regarding labor supply.