(c) Now consider the case in which Stephan has other sources of income for I = $10. What is the effect of the decrease in taxation from T = 0.2 to T = 0 on Stephan's labor supply? Is the result different from above? Why? (10 points)Stephan's labor supply. Stephan's preferences over consumption and leisure are represented by the utility function u(c, 11) = oz ln(c)+(1a) ln(1 l), where c is Stephan's favorite consumption basket (whose price is p = 1) and where l represents the fraction of time that Stephan spends working. The market wage for Stephan's skill level is $11, on which he pays taxes at the 20% rate. It follows that a supply of 1 yields labor earnings w(1 T)l = 11 x (1 0.2) x l. Assume that o: = 1/2 and that Stephan has no other sources of income