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For the Negative Income Tax to Eradicate Poverty

Question 62

Multiple Choice

For the negative income tax to eradicate poverty:


A) the guaranteed level of income has to be equal to the poverty line.
B) the break-even income has to be equal to the poverty line.
C) the negative income tax rate has to equal 50 percent.
D) the guaranteed level of income has to be equal to the break-even income.
E) the guaranteed level of income has to be equal to the tax paid.

Correct Answer:

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