Which of the following is not correct?
A)A negative income tax only applies to working people, so it encourages people to get full-time work.
B)Supporters advocate the use of the Earned Income Tax Credit as a way to help the working poor.
C)A negative income tax subsidizes the incomes of poor people.
D)An advantage of a negative income tax is that it is not based on the number of children, so it does not provide incentives for unmarried women to have children.

Question

Quizplus · Accepted Answer

A negative income tax applies to individuals or families whose income falls below a certain level, providing them with supplemental pay from the government. This system does not exclusively apply to working people but can benefit those with no income or very low income, whether they work full-time, part-time, or not at all. Its primary aim is to ensure a minimum income level for all, rather than solely encouraging full-time employment.

Which of the Following Is Not Correct