Let the well-being curve be represented by s-8-100/y, where s is satisfaction on a scale of...

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Let the well-being curve be represented by s-8-100/y, where s is satisfaction on a scale of 0- 10 and y is annual income in thousands. Sketch the well-being curve for incomes from 20 to 300 thousand (e.g. the satisfaction of someone making $20,000 is s-8-100/20=3). a) How would taking $20,000 from someone making $200,000 per year and giving it to someone making $40,000 affect overall well-being? b) Some people argue for flat taxes how much would a 15% tax decrease well being for someone making $200,000 per year? Someone making $40,000 per year? Let the well-being curve be represented by s-8-100/y, where s is satisfaction on a scale of 0- 10 and y is annual income in thousands. Sketch the well-being curve for incomes from 20 to 300 thousand (e.g. the satisfaction of someone making $20,000 is s-8-100/20=3). a) How would taking $20,000 from someone making $200,000 per year and giving it to someone making $40,000 affect overall well-being? b) Some people argue for flat taxes how much would a 15% tax decrease well being for someone making $200,000 per year? Someone making $40,000 per year?

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SOLUTION a Wellbeing curve is given as s 8 100y For person 1 original income 2... View the full answer