Means-tested government transfer programs may reduce work incentives because
A) only lazy people participate in these programs.
B) these programs actually pay people not to work.
C) a family can live a very comfortable, middle-class lifestyle on welfare payments.
D) for every additional dollar earned, welfare payments are reduced, effectively lowering the wage.
E) these programs allow people to make money working only part-time.
Correct Answer:
Verified
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