Which of the following is not correct?
A)Economists who argue that labor taxes are highly distorting believe that labor supply is fairly elastic.
B)Economists who argue that labor taxes are not highly distorting believe that labor supply is fairly inelastic.
C)Economists who argue that labor supply is fairly inelastic cite elderly workers who adjust the date they retire as an example.
D)Economists who argue that labor supply is fairly elastic cite workers who adjust the hours of overtime that they work as an example.

Question

Quizplus · Accepted Answer

Economists who argue that labor supply is fairly inelastic would not typically cite elderly workers adjusting their retirement date, as this behavior suggests elasticity in response to tax changes.

Which of the Following Is Not Correct