Question: Consider the following two antipoverty programs: (1) A payment of $10/ day is to be given this year to each person who was classified as

Consider the following two antipoverty programs: (1) A payment of $10/ day is to be given this year to each person who was classified as poor last year; and (2) each person classified as poor will be given a benefit equal to 20 percent of the wage income he earns each day this year.
a. Assuming that poor persons have the option of working at $4/ hr, show how each program would affect the daily budget constraint of a representative poor worker during the current year. b. Which program would be most likely to reduce the number of hours worked?

Step by Step Solution

★★★★★

3.41 Rating (179 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Program 1 is more likely to reduce hours worked assuming leisure is a ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

363-B-E-M-E (3687).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!

A 70-kg patient is to be given a medical test involving the ingestion of 99m/43 Tc which decays by emitting a 140-keV gamma. The half-life for this decay is 6 hours. Assuming that about half the...

A 55-kg patient is to be given a medical test involving the ingestion of 99m43Tc (Section 31-7) which decays by emitting a 140-keV gamma. The half-life for this decay is 6 hours. Assuming that about...

Consider the following two samples: Sample 1: 10, 9, 8, 7, 8, 6, 10, 6 Sample 2: 10, 6, 10, 6, 8, 10, 8, 6 (a) Calculate the sample range for both samples. Would you conclude that both samples...

6. Consider the following two antipoverty programs: (1) A payment of $10/day is to be given this year to each person who was classified as poor last year; and (2) each person classified as poor will...

1. summery of the case study? 2. how is this case study related to project management? 3. what steps shouldve taken to make this project better from the start? 210 Chapter 5. Sepe Management...

210 Chapter 5. Sepe Management Discussion Questions 5.1 What are the principal benefits of developing a comprehen- sive project scope analysis? 5.2 What are the key characteristics of a work package?...

Hi Sara, Please find my attachments for your information. Thank you Masoumeh P 3-2 P 3-2 The following information was obtained from the accounts of Lukes, Inc., as of December 31, 2012. It is...

hello, need help with this question with explanation too thank u kidnly refer to the last 2 pics hi this is the full question as given :( PART III The long-term liabilities section of CPS...

Compare each of the major modes of transportation and identify at least one advantage of each.

Tricia and Janine are roommates and leave Houston on Interstate 10 at the same time to visit their families for a long weekend. Tricia travels west and Janine travels east. If Tricias average speed...

If you recorded fourth - quarter transactions in 2 0 2 1 , January transactions are recorded for: Multiple Choice 2 0 1 9 . 2 0 2 0 . 2 0 2 1 . 2 0 2 2 . None of the answer choices are correct.

With respect to Level III sponsored ADRs, which of the following is least likely to be accurate? They: A. have low listing fees. B. are traded on the NYSE, NASDAQ, and AMEX. C. are used to raise...

This past year, Used Imported Autos sold very few cars and lost over $500,000. As a consequence, its manager is contemplating two strategies to increase its sales volume. The low-cost strategy...

Pelican Point Financial Groups clientele consists of two types of investors. The first type of investor makes many transactions in a given year and has a net worth of over $1 million. These investors...

CPT Inc. is a local manufacturer of conveyor systems. Last year, CPT sold over $2 million worth of conveyor systems that netted the company $100,000 in profits. Raw materials and labor are CPTs...

Neighborhood Insurance sells fire insurance policies to local homeowners. The premium is $250, the probability of a fire is 0.1%, and in the event of a fire, the insured damages (the payout on the...

If an investor subscribes to the strong form EMH, their investment decisions would be limited to: O Choosing financial instruments that he believed were undervalued. O Not investing through the...

Carlos and Luisa were divorced on December 31 on 2021. What is their filing status for 2021?