Question

1.1

Milton Friedman's negative income tax proposal:

has the advantage that a person with a job is better off the more money (s)he makes.

has the disadvantage that a person is better off not working rather than being on the negative income tax program.

is the same in nature as the current federal welfare programs, and has proven ineffective to solve poverty.

is favored by many Democrats and Republicans and is expected to pass in Congress next year.

satisfies all of the above.

1.2

Milton Friedman's negative income tax program proposed to:

pay a cash subsidy (cash handout) to persons earning below a certain income. The greater your income, the less the handout.

tax only those individuals, who earn less than $25,000 per year.

make the government pay taxes to the people, instead of the people paying taxes to the government.

eliminate all forms of taxes.

Answer 1

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it is an adeguate to lve wih dignity and ecencH →But this does not being the poor above the minimem Poventy line option-A) Poy a cash Sub sidly lcash hand out ning loelow a certain incoma ha grea fen yo income, the less he hand oul -) Milton's me d man proposed Nepature income ay puzayom to shous the dela tionship beweon the sto len in come people and how they are to be taxed → According to him, the gevenn rent is dea -ired to Set an income thre shald or a Faniy earning belas Hir certain reshold would uecei ue cash subsides But "for all aff,ort earnings above妐stoeshold > And any incvidial a will be ta xed and less ill be the handout