The pay-as-you-go nature of the Social Security system means that _____

a. current beneficiaries are paid out of general tax revenues
b. current beneficiaries are paid out of the payroll taxes levied on current workers
c. current beneficiaries are paid based on contributions made during their last five working years
 d. current beneficiaries are paid out of current earnings on the Social Security trust fund


Ans: b. current beneficiaries are paid out of the payroll taxes levied on current workers

Economics

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