Consider a Payroll Tax Paid by Workers Versus a Payroll

Multiple Choice

Consider a payroll tax paid by workers versus a payroll tax paid by employers. In comparing the outcomes of each type of tax, we see that

A) workers receive a higher take-home wage when the tax is imposed on employers than when the tax is imposed on workers.
B) employers pay a lower total wage when the tax is imposed on workers.
C) employment decreases by more when the tax is imposed on employers than when the tax is imposed on workers.
D) workers receive the same take-home wage when the tax is imposed on workers and when the tax is imposed on employers.
E) employment decreases by more when the tax is imposed on workers than when the tax is imposed on employers.