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Bad but better than many?
Once this hypothetical head of household enters the labor market, he or she enters what Thies calls the Dead Zone, an area in which there is very little real benefit to working until the work pays well beyond $40,000 a year. The squiggly line in the Dead Zone reflects the fact that welfare and other income-based wealth transfers often disappear once workers enter the labor market. Unfortunately, given the median income in Alabama, a considerable number of workers operate in this Dead Zone.[4]
Once this hypothetical head of household enters the labor market, he or she enters what Thies calls the Dead Zone, an area in which there is very little real benefit to working until the work pays well beyond $40,000 a year. The squiggly line in the Dead Zone reflects the fact that welfare and other income-based wealth transfers often disappear once workers enter the labor market. Unfortunately, given the median income in Alabama, a considerable number of workers operate in this Dead Zone.[4]
posted at 12:50:59 on 07/01/10
by Chuck Myguts -
Category: Alabama
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