Question

Which of the following statements accurately describes the result of a decreasing worker-per-beneficiary ratio in the Social Security system?
a.
Fewer taxed workers than beneficiaries means that the system is collecting more money for the money being drawn out. This leaves money in the system and secures benefits for future beneficiaries.
b.
Fewer taxed workers than beneficiaries means that the system is collecting more money for the money being drawn out. This leaves a shortage of money in the system making benefits for future beneficiaries unsure.
c.
Fewer taxed workers than beneficiaries means that more money is being drawn from the system for the money put in. This leaves a shortage of money in the system making benefits for future beneficiaries unsure.
d.
Fewer taxed workers than beneficiaries means that more money is being drawn from the system for the money put in. This leaves money in the system and secures benefits for future beneficiaries.


Please select the best answer from the choices provided

A
B
C
D

Answer 1

C

Fewer workers per beneficiary means benefits being paid out exceed payroll tax revenues being collected, creating a shortfall that threatens future benefits.