Currently the 12.4 percent Social Security tax applies only on earnings up to $118,500. The House of

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Currently the 12.4 percent Social Security tax applies only on earnings up to $118,500. The House of Representatives wants to expand the tax and make it apply to higher earnings and eventually, by 2021, to apply it to earnings up to $308,750.

Explain how the expanded payroll tax will influence employment and potential GDP.

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Foundations Of Economics

ISBN: 9780134486819

8th Edition

Authors: Robin Bade, Michael Parkin

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Question Posted: Dec 23, 2023 06:04 AM

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Currently the 12.4 percent Social Security tax applies only on earnings up to $118,500. The House of

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Foundations Of Economics

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