The Social Security System Pays

question 28

Multiple Choice

The Social Security system pays:

• A) current retirees from funds paid by current employees.
• B) retirees the money accumulated from the payroll tax collected throughout their working lives.
• C) current retirees from current general government revenues.
• D) current retirees from general government revenue surpluses they contributed to through taxes.

---

Definitions:

Real GDP

Real GDP (Gross Domestic Product) measures the value of economic output adjusted for price changes, providing a more accurate reflection of an economy's size and how it's growing over time.

Growth Rate

The percentage increase in a country’s economic output or an individual company's earnings over a specific period, signaling economic health.

Human Capital

The combined capabilities, understanding, or other non-physical resources of people that can generate economic benefits for themselves, their companies, or their society.

Human Capital

The combined abilities, expertise, and non-physical assets of people that contribute to generating economic wealth.