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Business, 18.03.2021 23:40 brcribb

2. Suppose that the ratio of retirees to working citizens is currently 1:5, meaning that there are 5 working people for every retiree. Suppose that in 30 years the ratio will change to 1:2. If benefits remain the same, what will happen to the tax rate assuming retirees are provided benefits in a pay-as-you-go system? How much would benefits decrease if the tax rate remained the same?

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