If currently alive households take full account of the negative affects of a pay as you go social security system on their descendants, then the:
A)effects are magnified.
B)effects are nil.
C)effects are exponential.
D)effects are unchanged.

Question

Quizplus · Accepted Answer

If currently alive households take full account of the negative affects of a pay as you go social security system on their descendants, they will likely adjust their behavior and savings to mitigate any negative effects on their descendants. Therefore, the effects on their descendants will be negligible.

If Currently Alive Households Take Full Account of the Negative