The Social Security program is projected to bankrupt itself in the near future without reforms, largely due to:
A)People failing to pay their Social Security taxes
B)Political refusal to increase payroll taxes
C)A poorly performing economy
D)A large expansion of benefits
E)Longer life spans and lower birth rates

Question

Quizplus · Accepted Answer

The Social Security program is projected to bankrupt itself in the near future without reforms, largely due to longer lifespans and lower birth rates. Because Social Security is funded by people currently working to pay benefits to people who are no longer working, it depends on having many more workers than retirees. The ratio of workers to retirees is going down, however, so not enough money is going into the program to pay for the benefits being paid. With the retirements of the so-called "baby boom generation" (those born in the years following World War II), the problem is only going to get worse.

The Social Security Program Is Projected to Bankrupt Itself in the near Future