The Social Security System Is Currently Generating Tax Revenues That

question 446

Multiple Choice

The Social Security system is currently generating tax revenues that exceed the benefits paid to recipients. This surplus is

• A) being invested in foreign bonds, which will provide Americans with a source of income when the baby boom generation retires.
• B) being invested in government bonds, which will require an increase in general tax revenues when the bonds come due.
• C) separated from other government revenue so politicians will not spend the money during the current period.
• D) being channeled into earmarked private savings accounts.

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