Which of the following is a concern about the Social Security Trust Fund?
a. The rate of Social Security payroll taxes will continue to decrease unless Congress changes the law.
b. The number of current retirees contributing to the fund will continue to increase as the number of seniors continue to work after traditional retirement age.
c. Soon there will be too few workers contributing to the Trust Fund to support the increasing number of retirees.
d. Soon the Trust Fund will need to pay back the money it borrowed from the general treasury but it does not look like it will be able to repay this loan.
Question 2
Which of these statements best describes the possible effect of efforts by the Federal Reserve Board to lower interest rates?
a. They can lead to lower capital gains tax rates.
b. They can lead to higher unemployment in years of budget deficits.
c. They can spur economic growth by increasing the cost of money for business.
d. They can spur economic growth by increasing the available money supply.
This chart illustrates the “drip down” model of government. In this, politics is formed by the soc
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