Age Dependency Ratios and Social Security Solvency
Publication Date: July 2005
Publisher: Library of Congress. Congressional Research Service
Author(s):
Research Area: Population and demographics
Type:
Abstract:
The aging of the population of the United States, hastened by the impending retirement of the huge baby-boom generation, has caused some policy-makers to question whether the U.S. Social Security system can meet the demands for retirement benefits in the future. The financial health of the system, which is largely financed through taxes paid by current workers in a pay-as-you-go manner, is sensitive to the ratio of dependents to workers — sometimes called the dependency ratio or support ratio.
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