5. Suppose the government were to provide a subsidy of $300 per month for all families with children.(Hint: Such a subsidy is equivalent to an increase in non labor income.)

a. Consider a mother with a preschool-age child who is currently not employed.How would this subsidy affect her decision to work, all else equal?

b. Consider a mother with a preschool-age child who is currently employed. How would this subsidy affect the number of hours that she chooses to work, all else equal?