4. "As the real value of welfare, charity, and unemployment benefits rises, more and rnore people can be expected to find the combination of such benefits and leisure more attractive than the best available combination of income and work" (Professor Gordon Tullock, National Review, August 3, 1973).

(a) Do you agree or disagree? Why?

(b) If the statement is true, what are the policy implications? Explain your answer and the assumptions on which it is based. Be careful to stick to positive economics.