(10 pts) Taxes and Incentives: Suppose that the federal income tax on individuals is set up as follows: Income Bracket Tax Rate $1-$15,000 10% $15,001-$50,000 12% $50,001 & up 14% 5.1 (3 pts) Calculate the total taxes paid, the average tax rate, and marginal tax rate for a worker with an income of $65,000. 5.2 (3 pts) Suppose that there is a tax reform and the new federal income tax on individuals is set up as follows: Income Bracket Tax Rate 1-$20,000 $20,001-$70,000 13% $70,001 & up 16% Calculate the total taxes paid the average tax rate and marginal tax rate for a worker with an income of $65,000. 5.3 (4 pts) How will the tax law change in Part 5.2 affect the labor supply of the person making $65,000? Be sure to clearly explain the potential income and substitution effects