Social Security is a pure transfer program because
A) it transfers funds from current workers to the poor.
B) the government transfers funds from middle-income workers to welfare recipients.
C) current payroll taxes are used to pay the eligible retirees.
D) the government subsidizes the medical bill of the poor.
C
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The objective of the Fed and the government is to
A. prevent asset bubbles by recognizing them in real time. B. mitigate the consequences of asset bubbles by recognizing them in real time. C. prevent asset bubbles by recognizing bad lending practices. D. mitigate the consequences of asset bubbles by recognizing bad lending practices.
If workers do not have the skills that are required in the job market, which of the following will occur?
A. Cyclical unemployment. B. Structural unemployment. C. Seasonal unemployment. D. Frictional unemployment.