Which combination of government policies would be most likely increase labor demand?
a. Increasing subsidies to education and increasing subsidies to businesses for hiring new employees
b. Reducing income tax rates and cutting transfer payments to the needy
c. Raising income tax rates and cutting transfer payments to the needy
d. Reducing subsidies to education and increasing subsidies to businesses for hiring new employees
e. Increasing subsidies to education and reducing subsidies to businesses for hiring new employees.
A
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Some economists and policymakers who are in favor of government-provided health care believe that providing health care will
A) create negative externalities. B) generate more adverse selection. C) reduce asymmetric information. D) generate additional moral hazard.
All of the following explain the impact lag except the time between
A) a change in the money supply and a change in interest rates. B) a change in interest rates and a change in investment. C) a change in investment and the change in GDP. D) a change in the economy and the use of a tool of monetary policy.