The simulation examines the effects of various labour supply reforms on the hours worked by a selection of different income groups. The results are produced as graphs and tables. The graphical output applies indifference curve analysis where the budget line (before and after) and the indifference curve (before and after) are constructed. The optimum combination (choice point for the individual) is where the indifference curve is tangential to the budget line.

Therefore, any changes you have made to the input conditions of the simulation will appear as a repositioning of the lines and a corresponding change in the number of hours worked by the individual.

The two income groups are; single parent on a low wage, person on a high wage with a working partner.

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