Final answer:
The question involves a microeconomic analysis where Susan, a single mother, faces a trade-off between working more hours and earning more income versus losing equivalent government support. Opportunity costs and the potential disincentive to work are also discussed, providing an analysis of the effects of government assistance on individual behavior.
Step-by-step explanation:
The question involves creating a table to illustrate the trade-offs between earning income and receiving government support, specifically for a single mother named Susan who faces decreases in government aid with increases in earned income. This is a representation of a budget constraint in microeconomics, which is part of understanding the effects of economic policies on individual behavior. Here's an example of how the provided table values might look:
- Hours Worked: 0 (No work)
- Earnings from Work: $0 (Since not working)
- Government Support: $16,000 (Full government benefits)
- Total Income: $16,000 (From government support alone)
Depending on the number of hours worked, the earnings from work would be the number of hours multiplied by $8. The government support would start at $16,000 and would decrease by the same amount as the earnings from work increase. The total income would be the sum of earnings from work and government support.
This kind of assistance program may disincentivize Susan from working more hours because her total income might not significantly increase with additional work due to the reduction in government support. Opportunity costs such as time spent with her children and childcare expenses might further reduce her incentive to work.