Suppose That the Ratio of Retirees to Working Citizens Is

question 17

Essay

Suppose that the ratio of retirees to working citizens is currently 1 to 5, meaning that there are 5 working people for every retiree. Suppose that in thirty years the ratio will change to 1 to 2. If benefits remain the same, what will happen to the contribution rate assuming retirees are provided benefits in a pay-as-you-go system? How much would benefits decrease if the contribution rate remained the same?

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Definitions:

Line Managers

Managers who are directly responsible for overseeing the performance and operations of a specific department or area within an organization.

Performance Management Strategically

Strategically managing performance involves aligning individual employee goals and objectives with the strategic objectives of the organization to enhance productivity and contribute to the company's success.

HR Managers

Professionals responsible for overseeing the human resources department, focusing on policies, strategies, and employee welfare within an organization.

Country Cultures

The shared values, norms, traditions, and practices that characterize the social behavior of people within a specific country, influencing their perceptions and interactions.