The method of financing the Social Security system until 1983 is best described as
A)trust fund.
B)excise tax.
C)indirect tax.
D)"pay as you go."

Name: The method of financing the Social Security system until 1983 is best described as A)trust fund. B)excise tax. C)indirect tax. D)"pay as you go."
Brand: Quizplus
Rating: 4.8 (42 reviews)

Question

Quizplus · Accepted Answer

This is because the financing method used for Social Security until 1983 was the "pay-as-you-go" method, where current workers' payroll tax contributions were used to pay benefits for current retirees.

The Method of Financing the Social Security System Until 1983