Under the Social Security Program Currently in Existence

question 49

Multiple Choice

Under the Social Security program currently in existence

• A) benefits are based on need.
• B) benefits are determined by whether or not one contributed to the system.
• C) benefits are provided to everyone who contributed to the system EXCEPT those under private retirement programs that provide an annual income in excess of $13,500.
• D) benefits are guaranteed to be no lower for future retirees than for current retirees.

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Definitions:

Net Capital

The difference between a company's or country's total assets and its total liabilities, indicating the net value of its capital resources.

Loanable Funds

The market where savers supply funds for loans to borrowers, influenced by the interest rate.

Tax Rebate

A financial refund provided by the government to taxpayers, typically to stimulate the economy or encourage certain behaviors.

Open-Economy Macroeconomic Model

A framework for understanding and analyzing the interactions between a country's economy and the rest of the world, including trade and capital flows.