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The Following Questions Refer to the Information Given Below

Question 38

Multiple Choice

The Following Questions Refer to the information given below.
Suppose the government implements a negative income tax plan to deal with the poverty problem.The negative income tax rate is set at 50%,and the break-even level of income is set at $5,000.
-The guaranteed annual income level assured each family,regardless of the amount of income earned by the family is


A) $0
B) $1,500
C) $2,500
D) $5,000
E) $7,500

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