Gerontology Chapter 5 – Flashcards
31 test answers
Unlock all answers in this set
Unlock answers 31question
Which type of tax finances the majority of federal social assistance programs?
answer
Income taxes
Unlock the answer
question
Which type of tax finances the majority of social insurance programs?
answer
Payroll Taxes
Unlock the answer
question
Define Fiscal Welfare
answer
Indirect payment to individuals through the tax system
Unlock the answer
question
What type of program is Fiscal Welfare more commonly known as?
answer
Tax Breaks (Tax Expenditures)
Unlock the answer
question
Define the "replacement rate"
answer
The amount of preretirement pay that is replaced by Social Security retirement benefit
Unlock the answer
question
Do low income or high income workers have a higher Social Security Replacement rate?
answer
Low Income
Unlock the answer
question
In what year was legislation passed establishing Social Security?
answer
1935
Unlock the answer
question
In what year was legislation passed establishing Medicare and Medicaid?
answer
1965
Unlock the answer
question
What is the source of the largest share of older people's income?
answer
Social Security
Unlock the answer
question
What is Supplemental Security Income?
answer
A federal means tested, social assistance program for the aged, blind, and disabled poor
Unlock the answer
question
How is the Social Security benefit affected by retiring at 62 rather than 65 years of age?
answer
current workers who retire at age 62 receive benefits that are reduced by 25 percent of what they would have received at 65.
Unlock the answer
question
Progressive Tax
answer
The higher one's income the higher the tax rate
Unlock the answer
question
Regressive Tax
answer
A tax that takes a larger percentage from low income people than from high income people
Unlock the answer
question
Which federal tax is considered progressive?
answer
Income Taxes
Unlock the answer
question
Which federal tax is considered regressive?
answer
Payroll taxes
Unlock the answer
question
Horizontal Equity
answer
everyone with same income level pays the same rate of taxes
Unlock the answer
question
Vertical Equity
answer
people who make more money have higher capacity to pay higher taxes (most people do not agree with this equity)
Unlock the answer
question
Flat Tax
answer
same percent tax regardless of income
Unlock the answer
question
Social Security is what type of tax?
answer
Regressive Tax
Unlock the answer
question
Medicare is what type of tax?
answer
Flat Tax
Unlock the answer
question
Entitlement Program
answer
based on categorical eligibility
Unlock the answer
question
Two types of Social Insurance Programs?
answer
Social Security and Medicare
Unlock the answer
question
Social insurance programs are considered
answer
"earned" because you are paying in
Unlock the answer
question
Medicare Part A covers
answer
Hospital care. Some home heath care and nursing home care
Unlock the answer
question
Medicare Part B covers
answer
Physician office visits, outpatients services
Unlock the answer
question
Medicare Part C is considered
answer
managed care
Unlock the answer
question
Medicare Part D covers
answer
prescription drug coverage
Unlock the answer
