Final answer:
Jon Kason needs to work approximately 39 to 40 hours per week to earn $725 at his hourly rate of $18.40. A table and labor-leisure diagram would illustrate Jonathon's choices between earning income as a server and receiving government benefits, highlighting the impact of his work on his total income, which includes both earnings and reduced welfare due to working.
Step-by-step explanation:
To determine how many hours per week Jon Kason must work to earn approximately $725 per week at an hourly wage of $18.40, we divide the desired weekly earnings by the hourly wage:
Hours required per week = $725 / $18.40 per hour
Calculating this gives approximately 39.40 hours, which means Jon would need to work about 39 to 40 hours per week to achieve his earnings goal.
To illustrate Jonathon's options between working as a server and receiving government benefits, we would need to create a table with four columns. Each row in the table would represent a different number of hours Jonathon could work, with corresponding calculations of earned income, reduced government benefits, and total income. Since his wage is $6 per hour and his government benefit reduction is dollar for dollar, his effective income from work would be less than his hourly wage. However, to fully visualize these options and the impact of his choice between labor and leisure, a labor-leisure diagram would be useful. Such a diagram would plot the trade-off between income earned from working and the utility received from leisure time.
For example, if Jonathon works 1,000 hours at $6 per hour, he would earn $6,000 from work. Based on the one-to-one reduction in welfare, his government benefits would go down by $6,000, so he would still receive $4,000 in benefits. Combining his earnings with the remaining benefits, his total income for the 1,000 hours of work would be $10,000.