Consumer choice theory predictsthat, withidentical, rational consumers and perfect creditmarket, fully-funded social security will not improve the social welfare. Whynot?

A.

Fully-funded social security always makes everyone worse off.

B.

Lenders can benefit while borrowers are worse off with the system

C.

Borrower can benefit while lenders are worse off with the system

D.

Consumers are saving the optimal amount already

E.

None of the above