what-is-an-unintended-economic-consequence-of-welfare-programs-that-reduce-incen

Question

What is an unintended economic consequence of welfare programs that reduce incentives for low-income individuals to increase their earnings?

Accepted Answer

A reduction in the labor force participation rate.

Answer

Increased economic growth due to higher consumer spending.

Answer

Increased investment in education and training.

Answer

Higher levels of savings among low-income families.