Final answer:
The effects of a government-imposed payroll tax on workers are not identical to the effects if the tax were imposed on employers. The costs of hiring may not remain constant, and the labor supply curve does not necessarily shift to the right. However, total employment may remain relatively constant.
Step-by-step explanation:
The effects of a government-imposed payroll tax on workers are not identical to the effects if the tax were imposed on employers. The costs of hiring may not remain constant, and the labor supply curve does not necessarily shift to the right. However, total employment may remain relatively constant.
When a payroll tax is imposed on workers, it reduces their take-home pay, which can result in a decrease in labor supply. This can lead to a decrease in total employment if the decrease in labor supply outweighs any potential decrease in labor demand. The costs of hiring may also increase for employers, as they have to pay more for their workers due to the tax.
However, the actual effects of a payroll tax on workers can vary depending on factors such as the elasticity of labor supply and demand, the size of the tax, and how the tax revenue is used. Therefore, it is not accurate to say that the effects are identical to if the tax were imposed on employers.