According to the Wealth Substitution Effect, Workers Will Save Less

question 35

True/False

According to the wealth substitution effect, workers will save less as they substitute Social Security wealth for other types of wealth that could be financed by saving.

---

Definitions:

Depletion Time

The estimated time it will take to use up a resource at its current rate of consumption.

Mineral Reserves

Quantities of minerals that can be profitably extracted and processed with current technology.

Metallic Mineral

Minerals from which metal can be extracted, typically characterized by a shiny, metallic luster and conductivity of heat and electricity.

Zinc

A metallic element required in small amounts by most living organisms for enzyme function, DNA synthesis, and immune response.