With a negative income tax, the larger the difference between the break-even income level and the guaranteed level,

Question

Quizplus · Accepted Answer

The larger the difference between the break-even income level and the guaranteed level, the greater the incentive to work, as individuals will see a greater benefit in earning income above the break-even level since they will keep a higher percentage of their earnings.

With a Negative Income Tax, the Larger the Difference Between