A Pay-As-You-Go System Means

question 9

Multiple Choice

A pay-as-you-go system means

• A) you pay for your dinner as you go to the table to eat.
• B) current working citizens pay for current retired citizens.
• C) there is no need for taxes since current workers pay for current retirees.
• D) retirees are paid from accounts that have accumulated with interest over their working lives.

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Definitions:

Exporters

Individuals or companies that sell goods or services to foreign countries.

Netherlands

A country located in Northwestern Europe, known for its flat landscape, extensive canal system, tulip fields, windmills, and cycling routes.

European Monetary Union

A political and economic agreement among European countries to adopt a shared currency, the Euro, and coordinate monetary policy.

European Union

A political and economic union of 27 European countries that have agreed to share a common market, a customs union, and a variety of legislative institutions.