Question

1. what was happening in the country to get the Social Security act passed?
2. since Americans are living longer what happens with most people and collecting their Social Security benefits?

Answer 1

Social Security Act was created by Franklin Roosevelt in 1935, which is a federal safety net for elderly, unemployed and disadvantaged Americans. The main stipulation of the original Social Security Act was to pay financial benefits to retirees over age 65 based on lifetime payroll tax contributions today the advantage taken by disable persons, unemplyed youth. The social security system has lot of pros and cons which is provide health insurance for people living under financial distress, through this provide old agepension,physically mentally disables pension , widow and unemployed pensions.provide financial assistance for child development and women empowerment.which has some cons.that is this fund is reached to the real people thats most important. lot of people get the advantage from this scheme illegaly.However this act reduce the poverty inUS especially retired people.in the case of US old age population is very high not only that the lif expactancy is also high so the social security scheme take a significant role in the social and economic development of the country.

Since the Americans are livng longer and take advantage for a longer period create lot of financial burden to the country. in US the reducing level of birth rate also contribute this issue because the low birth rate indicate the low work force of futer thats will lead to labour shortage and lter financial crisis too. Todays the social security act raise lot of challenges due to Corona impact.Corona crisis spread to all sector not only economic but politics,social,industry,health and,education also.Corona all ready created a big unemployment rate this the basic element of Social security Act.because Youth employment is the funding source of this system so the future of this Act is doubtful.