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In 2000, the ratio of people age 65 or older to people ages 20 to 64 in Ecocountry was 38,4 %. In the year 2060,
In 2000, the ratio of people age 65 or older to people ages 20 to 64 in Ecocountry was 38,4 %. In the year 2060, this ratio is expected to be 56,8 %. Assuming a pay as-you-go Social Security system,
- What change in the payroll tax rate between 2000 and 2060 would be needed to maintain the 2000 ratio of benefits to wages?
- If the tax rate were kept constant, what would happen to the ratio of benefits to wages?
- What other policies can be used for Social Security Reform?
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