The text discusses the projected increases in the claims on the economy by entitlement programs between the mid 1990s and 2035 . It argues that
a. the projected growth of Medicare claims far outstrips that of Social Security
b. as a percentage of GDP, both Medicare costs and Social Security costs will fall
c. age and health-care demands are related with the majority of claimants being the young
d. the rate of growth of Social Security payments will be higher than the rates for either Medicare and Medicaid
e. Social Security and Medicare costs will remain at about the same percent of GDP
A
You might also like to view...
How might consumers for whom the borrowing constraint is binding benefit from access to relatively expensive forms of credit (e.g., pawn shops and "payday" loans)?
What will be an ideal response?
The misperception effect explanation for an upward-sloping short-run aggregate supply curve is based on: a. falling profit margins as the price level rises
b. rising costs of production as the price level rises. c. fixed wage labor contracts. d. people mistaking changes in aggregate demand for changes in the demand for their goods relative to other goods and services.
During the early years of the Reagan administration, some of the presidential advisors argued that tax cuts could reduce inflation because they would give people an incentive to produce more. Critics of this argument believed that tax cuts would increase inflation, not reduce it. The critics were arguing that tax cuts move the:
A. long-run aggregate supply curve to the right with little change in aggregate demand. B. aggregate demand curve to the right with little change in long-run aggregate supply. C. aggregate demand curve to the left with little change in long-run aggregate supply. D. long-run aggregate supply curve to the left with little change in aggregate demand.
Suppose an economy experiences a reduction in productivity. Explain both the short-run and medium-run effects of this reduction in productivity on output, employment, and the unemployment rate
What will be an ideal response?