If the Ratio of Workers to Retirees Falls from 3:1

question 38

Multiple Choice

If the ratio of workers to retirees falls from 3:1 to 2:1 as is expected, then to maintain the level of benefits in programs such as Social Security, workers will have to ______________ than workers do now.

• A) pay less taxes
• B) work longer hours
• C) pay significantly higher taxes
• D) work further into old age

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Definitions:

Secured Creditor

A creditor that has a legal interest, usually called a lien, in a debtor’s property, securing the debt and giving the creditor rights to the property if the debt is not repaid.

Collateral

Assets pledged by a borrower to secure a loan, which can be seized by the lender if the loan is not repaid.

Security Interest

A legal claim or lien on assets which secures the performance of an obligation, usually repayment of a loan.

Present and After-Acquired Equipment

Refers to a security interest in equipment that a borrower currently owns and any equipment they will acquire in the future.