Suppose a negative income tax program is established at 25 percent, and a poverty threshold minimum of $15,000 is guaranteed for a family of four. If no income is earned by this family, its total income would equal

Question

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Under a negative income tax program with a 25 percent rate and a $15,000 poverty threshold, a family of four earning no income would receive $15,000 to meet the threshold.

Suppose a Negative Income Tax Program Is Established at 25