One of the looming concerns for some current generations and future generations is that Social Security will run out and post-retirement benefits will not be available to them. One way that lawmakers have proposed to solve this problem is to establish a system in which every worker has their own retirement savings account where a portion of their paycheck goes each pay period. So, instead of going to a pooled retirement fund for everyone to draw from, that money is set aside for that individual upon retirement. What is this proposed plan an example of?

Question

Quizplus · Accepted Answer

The proposed plan is an example of privatization because it would shift the responsibility of retirement savings from a public, pooled fund to individual, private retirement savings accounts.

One of the Looming Concerns for Some Current Generations and Future