The Mayor of Workerville Proposes a Local Payroll Tax to Fund

question 66

Multiple Choice

The mayor of Workerville proposes a local payroll tax to fund a new water park for the city.The mayor proposes to collect half the tax from workers and half the tax from firms.The mayor will be able to successfully divide the burden of the tax equally if the

• A)demand for labor is more elastic than the supply of labor.
• B)supply of labor is more elastic than the demand for labor.
• C)demand for labor and supply of labor are equally elastic.
• D)It is not possible for the tax burden to fall equally on firms and workers.

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Definitions:

Erik Erikson

A developmental psychologist and psychoanalyst known for his theory on the psychosocial development of human beings, identifying eight stages that extend from birth to death.

Resilience

The ability of an individual to quickly recover from difficulties; a form of mental toughness or elasticity.

Holocaust

The systematic mass slaughter of six million Jews and millions of others by the Nazis during World War II.

Imprinting

A rapid, innate learning process within a critical period that involves attachment and identification of offspring with their parent or an object.