Refer to the Table 13-1 below, which shows an economy where individuals live for two periods....

    

  

 

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Refer to the Table 13-1 below, which shows an economy where individuals live for two periods. Those who are young in one period become old retirees in the next. Suppose in Period 1, there was no Social Security program. In Period 2, the program begins and the young of that period pay tax to fund the program for the current retirees. In Period 5, suppose the Society Security program abruptly ends (such that retirees in Period 5 do not receive any benefits, and workers do not pay the tax towards Social Security). Suppose the payroll tax to support Social Security is 10%, that population grows by 5% per year, and that earnings grow at 5% per year. Period 1 2 3 4 5 Number of Young Workers 500 A 552 579 608 Earnings per Taxes Paid for Young Worker Young Worker $10,000 $10,500 SB $11,576 $12,155 0 $1,050 SC $1,157.63 0 Total Taxes Paid 0 $D $607,753.10 $670,048.80 0 Number of Old Retirees 0 500 525 E 579 Benefits to Old Retirees 0 SF $1,157.62 $1,213.86 0 Taxes Paid by Old Retirees - 0 $1,050 $1,102.50 $G Rate of Return - Infinite H% 1% J% Question 18 1 pts What number should "A" be in Table 13-1, where A describes the number of young workers in Period 2? If your answer is not a whole number, please round up to the next whole number. Question 19 1 pts What number should "B" be in Table 13-1, where B is the earnings per young worker in Period 3? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 20 1 pts What number should "C" be in Table 13-1, where C is the payroll tax collected from a young worker in Period 3? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 21 1 pts What number should "D" be in Table 13-1, where D is the total amount of payroll tax collected from all young workers in Period 2? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 22 1 pts What number should "E" be in Table 13-1, where E describes the number of old retirees in Period 4? If your answer is not a whole number, please round up to the next whole number. Question 23 1 pts What number should "F" be in Table 13-1, where F is the benefits paid to each old retiree in Period 2? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 24 1 pts What number should "G" be in Table 13-1, where G is the tax paid by each old retiree in Period 5? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 25 1 pts What number should "H" be in Table 13-1, where H is the rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 3? Note that due to rounding in other numbers in the table, finding the percentage will give you an approximate rate of return that you can still round to the closest whole number. You can also figure out the exact rate of return without taking percentages. Also, please do not enter the percentage sign in your answer. Question 26 1 pts What number should "I" be in Table 13-1, where I is the exact rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 4? Note that due to rounding in other numbers in the table, finding the percentage will give you an approximate rate of return that you can still round to the closest whole number. You can also figure out the exact rate of return without taking percentages. Also, please do not enter the percentage sign in your answer. Question 27 1 pts What number should "J" be in Table 13-1, where J is the rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 5? Please do not enter the percentage sign in your answer. Refer to the Table 13-1 below, which shows an economy where individuals live for two periods. Those who are young in one period become old retirees in the next. Suppose in Period 1, there was no Social Security program. In Period 2, the program begins and the young of that period pay tax to fund the program for the current retirees. In Period 5, suppose the Society Security program abruptly ends (such that retirees in Period 5 do not receive any benefits, and workers do not pay the tax towards Social Security). Suppose the payroll tax to support Social Security is 10%, that population grows by 5% per year, and that earnings grow at 5% per year. Period 1 2 3 4 5 Number of Young Workers 500 A 552 579 608 Earnings per Taxes Paid for Young Worker Young Worker $10,000 $10,500 SB $11,576 $12,155 0 $1,050 SC $1,157.63 0 Total Taxes Paid 0 $D $607,753.10 $670,048.80 0 Number of Old Retirees 0 500 525 E 579 Benefits to Old Retirees 0 SF $1,157.62 $1,213.86 0 Taxes Paid by Old Retirees - 0 $1,050 $1,102.50 $G Rate of Return - Infinite H% 1% J% Question 18 1 pts What number should "A" be in Table 13-1, where A describes the number of young workers in Period 2? If your answer is not a whole number, please round up to the next whole number. Question 19 1 pts What number should "B" be in Table 13-1, where B is the earnings per young worker in Period 3? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 20 1 pts What number should "C" be in Table 13-1, where C is the payroll tax collected from a young worker in Period 3? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 21 1 pts What number should "D" be in Table 13-1, where D is the total amount of payroll tax collected from all young workers in Period 2? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 22 1 pts What number should "E" be in Table 13-1, where E describes the number of old retirees in Period 4? If your answer is not a whole number, please round up to the next whole number. Question 23 1 pts What number should "F" be in Table 13-1, where F is the benefits paid to each old retiree in Period 2? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 24 1 pts What number should "G" be in Table 13-1, where G is the tax paid by each old retiree in Period 5? If your answer is not a whole number, please round to the nearest hundredth. Also, please do not enter the dollar sign in your answer. Question 25 1 pts What number should "H" be in Table 13-1, where H is the rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 3? Note that due to rounding in other numbers in the table, finding the percentage will give you an approximate rate of return that you can still round to the closest whole number. You can also figure out the exact rate of return without taking percentages. Also, please do not enter the percentage sign in your answer. Question 26 1 pts What number should "I" be in Table 13-1, where I is the exact rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 4? Note that due to rounding in other numbers in the table, finding the percentage will give you an approximate rate of return that you can still round to the closest whole number. You can also figure out the exact rate of return without taking percentages. Also, please do not enter the percentage sign in your answer. Question 27 1 pts What number should "J" be in Table 13-1, where J is the rate of return (percentage difference between benefits received compared to taxes paid) for retirees in Period 5? Please do not enter the percentage sign in your answer.