When a Social Security tax is imposed on workers,employment ________ and when a Social Security tax is imposed on employers,employment ________.

Question

Quizplus · Accepted Answer

When a Social Security tax is imposed on workers, employment decreases because workers have less take-home pay, making work less attractive. Similarly, when the tax is imposed on employers, employment also decreases because the cost of hiring workers increases for employers, leading them to hire fewer workers.

When a Social Security Tax Is Imposed on Workers,employment ________