Assume That the Government Proposes a Negative Income Tax That

Assume that the government proposes a negative income tax that calculates the taxes owed as follows: Taxes Owed = (1/3 × Income) - 10,000.If a family doesn't earn any income,how does the negative income tax affect them?

A) They will receive an income subsidy of $1,000.
B) They will receive an income subsidy of $3,000.
C) They will receive an income subsidy of $10,000.
D) They will not be affected at all, since the negative income tax requires a family to earn income.