What is breakeven level of income in case-welfare benefit

Assignment Help Business Economics

Reference no: EM13739870

Suppose the welfare benefit formula is Benefit=$4,800-0.67(wages>$6,000) what is the marginal tax rate on The first 6,000 of wages? Wages above 6,000 How large is the benefit if wages equal $0? $4,000 and $4,800, $9000 and 7,000? What is the breakeven level of income in this case? A welfare recipien can receive food stamps as well as cahs welfare benefits. If the food stamp allotment is set as follows, Food stamps=$5000 - 0.30 (wages) A) how high can wages rise before all food stamps are eliminated? B) If the welfare benefit formula in Problem 1 applies, what is the combined marginal tax rate of both welfare and food stamps for wages above $6000?

Reference no: EM13739870

Questions Cloud

Describe historical significance of writer you have chosen : describe the historical significance of the writer whose work you have chosen. Comment on the degree to which the Black Death epidemic impacted that writer's work.

Firm purchased some equipment at a very favourable price : A firm purchased some equipment at a very favourable price of $30,000. The equipment reduced costs by $1000 per year during 8 years of use. After 8 years, the equipment was sold for $40,000. Assuming interest at 9%, did the equipment purchase prove t..

To reduce her personal carbon footprint : To reduce her personal carbon footprint, Zooey is buying a new hybrid. She has negotiated a price of $21,900 and will trade in her old car for $2350. She will put another $850 with it and borrow the remainder at 6% interest compounded monthly for 4 y..

Analysis of economic environments : he student will submit a research project that compares and contrasts two organizations in the same sector (Career Education Corporation and the Apollo Group Inc. or any other that you prefer), including analysis of the following criteria: legal, ..

What is breakeven level of income in case-welfare benefit : Suppose the welfare benefit formula is Benefit=$4,800-0.67(wages>$6,000) what is the marginal tax rate on The first 6,000 of wages? Wages above 6,000 How large is the benefit if wages equal $0? $4,000 and $4,800, $9000 and 7,000? What is the breakeve..

Identifying symptoms signs and indicators of deeper problems : Now that you have written a Situation Analysis, you should have a good overall perspective on your chosen company. Now, using that information, continue identifying symptoms, signs and indicators of deeper problems that might be facing the company

The difference between a c corporation and an s corporation : Why would you choose to purchase an existing business rather than start a new business. Why would you consider purchasing a Franchise rather than putting your money into a new start up

Identify and describe three ethical mandates of jainism : Identify and describe three ethical mandates of Jainism. Then evaluate the benefits and risks of putting so much emphasis on asceticism.

How culture distance entry mode in foreign market : Literature Review: Cultural Distance and Entry Mode, How culture distance and business entry mode in foreign market influence the performance of business in international market

User Account

All Pages