SOA Exam #2 Questions and Answers
100% Pass
The privatization of Social Security would mandate that individuals be more in charge
of their own retirement and the government less responsible. One country with a
privatization program in existence is: - ✔✔Chile
In the last 40 years, there has been a vast improvement in the economic position of the
aged. - ✔✔True
All of the following are risks of privatization except: - ✔✔some individuals would not
have money to invest in the system.
The baby boom generation has had fewer opportunities than their parents. One reason
for this lack of opportunity is: - ✔✔competition among members of this cohort.
An increase in payroll tax, to increase the Social Security fund, will fall heavily on
middle-age workers. - ✔✔False
One of the changes contributing to the decrease in the Social Security trust fund is
decline in the birthrate. - ✔✔True
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, All of the following are factors which have improved the economic status of the aged
except: - ✔✔the number of children providing economic support.
Private savings are a third source of income in retirement. Problems with saving for
retirement include all of the following except: - ✔✔little encouragement or advice to
save.
Defined contribution plans represent a savings plan with some tax advantages. Which
of the following is not a problem with defined contribution plans? - ✔✔The plan is
involuntary.
One major obstacle of means testing is: - ✔✔it discourages savings.
The United States is one of several countries thinking about raising the retirement age. -
✔✔True
Demographers currently predict that the ___________ will enter retirements with more
savings, better pension coverage, and greater prospects for inheriting wealth than any
other generation. - ✔✔baby boomers
The highest poverty rate is among: - ✔✔single women
The elderly today do not have the diverse source of income compared to the elderly of
the 1960s. - ✔✔False
_________ is the most successful program of the welfare state. - ✔✔social security
100% Pass Guarantee Katelyn Whitman All Rights Reserved © 2025 2
100% Pass
The privatization of Social Security would mandate that individuals be more in charge
of their own retirement and the government less responsible. One country with a
privatization program in existence is: - ✔✔Chile
In the last 40 years, there has been a vast improvement in the economic position of the
aged. - ✔✔True
All of the following are risks of privatization except: - ✔✔some individuals would not
have money to invest in the system.
The baby boom generation has had fewer opportunities than their parents. One reason
for this lack of opportunity is: - ✔✔competition among members of this cohort.
An increase in payroll tax, to increase the Social Security fund, will fall heavily on
middle-age workers. - ✔✔False
One of the changes contributing to the decrease in the Social Security trust fund is
decline in the birthrate. - ✔✔True
100% Pass Guarantee Katelyn Whitman All Rights Reserved © 2025 1
, All of the following are factors which have improved the economic status of the aged
except: - ✔✔the number of children providing economic support.
Private savings are a third source of income in retirement. Problems with saving for
retirement include all of the following except: - ✔✔little encouragement or advice to
save.
Defined contribution plans represent a savings plan with some tax advantages. Which
of the following is not a problem with defined contribution plans? - ✔✔The plan is
involuntary.
One major obstacle of means testing is: - ✔✔it discourages savings.
The United States is one of several countries thinking about raising the retirement age. -
✔✔True
Demographers currently predict that the ___________ will enter retirements with more
savings, better pension coverage, and greater prospects for inheriting wealth than any
other generation. - ✔✔baby boomers
The highest poverty rate is among: - ✔✔single women
The elderly today do not have the diverse source of income compared to the elderly of
the 1960s. - ✔✔False
_________ is the most successful program of the welfare state. - ✔✔social security
100% Pass Guarantee Katelyn Whitman All Rights Reserved © 2025 2
