Social Security benefits are very nice to get and help many current retirees live above the poverty line. Why should someone who is 25 years old today not count on receiving the same type of Social Security benefits when they retire in 45 years from now?
What will be an ideal response?
Answer: The demographics of American society have changed dramatically since when Social Security was created in 1933. The two main problems is the dependency ratio of young workers for every one retiree and the fact that the average life expectancy of retirees is increasing quickly. In 1933 the average life expectancy was 65 years old. The idea that 40 young working families would pay a small amount of taxes to support one retiree for a relatively short period of time. The current life expectancy is increasing meaning current retirees are drawing benefits much longer than expected. This is due to tremendous improvements in lifestyles, diets, health care, medicine and technology. If this trend continues then life expectancies will keep increasing causing serious financial strains on the system as it is now. Plus families are having fewer children causing the dependency ratio of workers to retirees to keep shrinking and is projected to be 2 to 1 in forty years. Some economists believe that the retirement age needs to raised up well past 70 rather than future benefits be reduced.
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