Which of the following contributes to the projected rise in government spending on Social Security and Medicare as a percentage of GDP?
A) Increasing life expectancies
B) Falling fertility rates
C) Increasing health care costs
D) All of the above are correct.

Question

Quizplus · Accepted Answer

All of the given options contribute to the projected rise in government spending on Social Security and Medicare as a percentage of GDP. 
A) Increasing life expectancies will result in longer periods of retirement and greater demand for Social Security and Medicare benefits.
B) Falling fertility rates would reduce the number of working-age individuals who contribute to these programs through payroll taxes, thus decreasing their funding.
C) Increasing health care costs would raise the expenses related to Medicare benefits. As healthcare procedures become more expensive, the cost of the benefits provided through Medicare will also rise.

Which of the Following Contributes to the Projected Rise in Government