Recall the Application about how society will cope with increased demands for entitlement programs to answer the following question(s). This Application addresses the impact of increasing life expectancy and aging populations on the costs of government entitlement programs such as Social Security, Medicare and Medicaid, and examines several possible solutions to the potential problem.
-According to this Application, one strategy proposed to deal with the rising expenses of government entitlement programs is for the government to save and invest now so as to reduce the burden on future generations. This strategy would
A) increase GDP, and entitlement programs would increase along with GDP.
B) increase GDP and entitlement programs would decrease.
C) increase GDP and eliminate entitlement programs.
D) not change GDP, but shrink entitlement programs.

Question

Quizplus · Accepted Answer

This strategy implies that by saving and investing now, the government can stimulate economic growth, leading to an increase in GDP. As GDP increases, the funding and scope of entitlement programs can also expand, helping to manage the rising costs associated with an aging population and increased life expectancy.

Recall the Application About How Society Will Cope with Increased