10. Social Security benefits, known as the Primary Insurance Amount (PIA), are computed based on Average Indexed Monthly Earnings (AIMEs) using the following table for 2019. For an individual who first becomes eligible for old-age insurance benefits or disability insurance benefits in 2019 his/her PIA is computed as: Primary Insurance Amount (PIA) Computation, 2019 If AIME is over: But not over: PIA is: of the AIME over: SO $926 90% of SO S926 $5,583 $833.40+ 32% S926 $5,583 $2.620.00 + 15% $5.583 a. Compute the Social Security primary insurance amount (PIA) for three retirees with AIMEs listed in the table below (report the computed PIAs in the table, showing your computation) AIME PIA: $800 $5,200 $9,000 b. Draw a graph of PIA as a function of AIME (with bend points) and illustrate where the three retirees fall on the graph. Explain the meaning of the function slopes. c. Explain the PAYGO funding challenges of the Social Security system and suggest two policy options related to benefits (not taxes) that could be considered to make the system more fiscally sustainable. 10. Social Security benefits, known as the Primary Insurance Amount (PIA), are computed based on Average Indexed Monthly Earnings (AIMEs) using the following table for 2019. For an individual who first becomes eligible for old-age insurance benefits or disability insurance benefits in 2019 his/her PIA is computed as: Primary Insurance Amount (PIA) Computation, 2019 If AIME is over: But not over: PIA is: of the AIME over: SO $926 90% of SO S926 $5,583 $833.40+ 32% S926 $5,583 $2.620.00 + 15% $5.583 a. Compute the Social Security primary insurance amount (PIA) for three retirees with AIMEs listed in the table below (report the computed PIAs in the table, showing your computation) AIME PIA: $800 $5,200 $9,000 b. Draw a graph of PIA as a function of AIME (with bend points) and illustrate where the three retirees fall on the graph. Explain the meaning of the function slopes. c. Explain the PAYGO funding challenges of the Social Security system and suggest two policy options related to benefits (not taxes) that could be considered to make the system more fiscally sustainable