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101. What’s Negative Income taxes, and B) why are they considered the better alternative to Welfare?

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101. What’s Negative Income taxes, and B) why are they considered the better alternative to Welfare?


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Answer

Negative income tax refers to the benefit received by the poor section of the society instead of being taxed. This is better than welfare as it distributes benefit better than welfare. Also the government is able to account and document accurately the state of affairs of the poor section of the society.

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