Price index

lifetime of the 18-26 age group (in fact, with a 4% surplus) and with the funding shortfall closed at 109% thereafter if the following is enacted. (Committee for a Responsible Federal Budget, CRFB) The majority of financial solutions derive through the benefit formula. When SS was founded, the eligibility age was 65, though, life-expectancy was 61. Today, if an individual reaches 65, their life expectancy is 85, though retirement age is only 67 despite incredible advances in life-spans. (SSA) Policy one, raise the retirement age to 69 and then index to longevity. This solves 39% of the gap. Second, put the growth of benefits on a downward sliding scale for the top half of earners, narrowing deficits by 35%. Policy three, I also recommend raising initial benefits by 1.3% to help support the general populous, a 6% increase in shortfalls. Lastly, I recommend changing the current Cost of Living Adjustment Index to a Chain Consumer Price Index as it accounts for American 's evolving selection of more affordable goods/options in relativity to inflation. This boosts the gap-closing by 21%. In the end, these changes close the deficit by 89%. (CRFB) Almost 60 million Americans receive SS benefits. (SSA) There is wide reaching shortcomings of this program that do not meet all the needs of many in society. Program efficiency must be improved. First, fraud must be reduced, including $3 billion in payments to deceased individuals alone, closing the gap by 5%. (The Fiscal Times and CRFB)…

the economy. We want to measure how the cost of living changes over time. The main intuition here is that, over time, peoples’ incomes and the prices of goods and services increase. 30 years ago an ice cream sundae cost $1 and a typical economics professor earned $35,000. Now, a (bad) ice cream sundae costs $4.50 and a typical economics professor earns $70,000. Main Parts of the Notes: 1. How do we measure the cost of living? a. Using the GDP price deflator b.…

An Index is a term for a set of variables used as a measure for a more abstract concept. Public Administrators will often find it helpful to use several indicators to form a single measure. The GDP (Gross Domestic Product) is classic example of this. It is the classic measure for production of a country. GDP represents goods and services produced by a country during a certain time period. Some of the indicators are Personal consumption, Government purchase, Private inventories, Paid in…

IN AUSTRALIA AND ONE OTHER COUNTRY INTRODUCTION There is evidence that links food choice to food prices and affordability, this means that an individual’s dietary patterns is linked to his or her income (Lee et al. 2013). Brinkman et al. (2010) further explains that difference in food prices has greatly contributed to the global burden of overweight, obesity and an increase in non-communicable diseases (Cardiovascular diseases, diabetes and cancer). Libsky (2009) and Andrieu et al. (2006)…

LINCOLN ELECTRIC COMPANY In 1906, John C. Lincoln incorporated his company and moved from his one-room, fourth-floor factory to a new three-story building. John Lincoln preferred being an engineer and inventor rather than a manager, though, and it was to be left to another Lincoln to manage the company through its years of success. The incentives • The Lincoln Electric Employees ' Association was formed in 1919 to provide health benefits and social activities. This organization continues today…

exceptional benefits for its top executives as is noted in more traditional hierarchy-centric companies. Lincoln does not provide executive washrooms, lunchrooms, or parking spaces, and the company President pays for their own meal and eats in the communal company cafeteria (Sharplin, 1989). Although many companies demonstrating an aggressive culture create clever one-liner statements of aggression towards their competitors, Lincoln Electric Company illustrates their aggressive culture through…

Only using the GDP to consider if an economy is doing does not take into account how much a dollar is worth. If a currency was experiencing hyperinflation, it would appear as if a county was experiencing rapid economic expansion. In reality, products would be outrageous prices where only a very few could afford halting the economy to a standstill. As said in Cocktail Party Economics “The real enemy of money is inflation, especially deadly hyperinflation strain, inflation can take a perfectly…

penalty was being raised since Bush senior’s tenure in office, 15 years ago. In spite of the increase, Statistics indicate that OSHA fines are still relatively low compared to those charged by regulatory agencies like EPA. What many await to see is whether OSHA will move fully to increase the penalties to raise the “catch-up” fee to full extent as stipulated in the new regulations. The budget agreement factored in the increase in order to compensate for the two decades lull, which has seen no…

”. An example of inflation is, how houses 25 years ago cost 5 times less than they do right now and that even though from year to year or month to month those prices fluctuate a little bit, the overall sustained trend is more and more expensive. Another way to explain inflation comes from the book, “the most instructive way to think about inflation is not that prices are going up, but rather that the purchasing power of the dollar is going down.” In other words, during inflation, the value of a…

used in that item and the value of the product, because if I go to a restaurant and a bruschetta is priced at $9 and they are also selling something I perceive as better ingredients, Parmesan cheese and eggplant, and is being sold at a slightly higher price. I would go for the eggplant. Popularity Factor Mostly, the popularity of a product is confused with deriving costs and profits. In actual, the profitability derives percentages and makes comparisons and does not consider any cost…