If There Is an Income Tax Levied on Labor Income,the

question 249

Multiple Choice

If there is an income tax levied on labor income,the labor demand curve ________ and the labor supply curve ________.

• A) shifts rightward; does not shift
• B) shifts leftward; does not shift
• C) does not shift; shifts rightward
• D) does not shift; shifts leftward
• E) shifts leftward; shifts leftward

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Definitions:

Red Light

A signal commonly used in traffic signaling systems to indicate the instruction to stop.

Skinner Box

An experimental apparatus used by B.F. Skinner in the study of animal behavior to investigate the effects of systematic reinforcement.

Power Cord

An electrical cable that temporarily connects an appliance to the mains electricity supply via a wall socket or extension lead.

Negative Reinforcement

A behavioral principle where the removal of an undesirable or unpleasant stimulus following a behavior increases the likelihood of that behavior being repeated in the future.