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(c) (2) Social Security and Medicare are funded through payroll taxes. The way payroll taxes are structured, the federal government collects from the rm 7.65%
(c) (2) Social Security and Medicare are funded through payroll taxes. The way payroll taxes are structured, the federal government collects from the rm 7.65% of the wages paid, and collects from the workers 7.65% of the wages paid. Suppose instead a payroll tax of 15.30% were collected from the worker with nothing collected from the rm. How much lower would the workers' aftertax wage be compared to the current tax system
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