One of the Implications of the Poverty Trap Is That

Multiple Choice

One of the implications of the poverty trap is that

A) the effective marginal tax rate can be very high for low-skilled workers,leading to discouraging the labour supply.
B) the average tax rate can be very high for low-skilled workers,leading to discouraging the labour supply.
C) the effective marginal tax rate can be low for low-skilled workers,leading to discouraging the labour supply.
D) the effective marginal tax rate can be very high for high-skilled workers,leading to discouraging the labour supply.