In a Pay-As-You-Go Social Security System, Everyone Can Be Made

question 35

Multiple Choice

In a pay-as-you-go social security system, everyone can be made better off only if

• A) the population growth rate exceeds the real interest rate.
• B) the real interest rate remains higher than the population growth rate.
• C) the number of old households exceeds the number of young households.
• D) the interest rate for borrowers is sufficiently below that of lenders.
• E) it is preceded by a fully funded system.

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Definitions:

Repetitive action

Repetitive action refers to performing the same action or behavior multiple times, which can be a symptom of neurological disorders, a part of learning processes, or a characteristic of ritualistic behaviors.

Social support

The assistance, comfort, and encouragement one receives from social networks, including friends, family, and community, which can be crucial for mental and physical health.

Perceived marginalization

The feeling or experience of being excluded or sidelined within a society or group.

Mahjong

A tile-based game that originated in China, involving skill, strategy, and calculation, as well as a certain degree of chance.