1. The defining characteristic of a social insurance program is that

a. eligibility is restricted to individuals who paid special payroll taxes during their working years.

b. it is administered jointly by the national government and the states.

c. it is targeted at those who are most in need of welfare assistance.

d. it is administered through private insurance companies.

e. None of these answers is correct

2. Social insurance programs have high levels of public support because

a. of their self-financing feature.

b. they are based on an equality principle%u2014all citizens are eligible for the benefits and all recipients receive the same level of benefits.

c. their cost is consistently below the spending level for public assistance programs.

d. of the necessity of increased taxes to fund them.

e. None of these answers is correct.

3. The Social Security benefits that today%u2019s retirees receive are funded primarily by

a. tax contributions they made in the past, which were put in a trust fund from which current payments are made.

b. payroll taxes on people who are currently working.

c. equal contributions from the national and state governments.

d. borrowed funds, which contribute to the national debt.

e. None of these answers is correct.

4. The term means test refers to

a. the tax on a portion of the Social Security benefits of upper-income retirees.

b. whether an applicant%u2019s income is low enough to qualify for public assistance.

c. the mandatory physical examination that Medicare and Medicaid applicants must undergo before they can receive benefits.

d. the mandatory psychological examination that Medicare and Medicaid applicants must undergo before they can receive benefits.

e. None of these answers is correct

5. The Food Stamps program is

a. criticized because some believe it allows undeserving people to get aid.

b. criticized because some think it stigmatizes its users by identifying them publicly as welfare cases.

c. an in-kind benefit.

d. criticized because some think it is too costly.

e. All these answers are correct

6. Which of the following statements is true concerning American public opinion on school vouchers?

a. Americans are divided in their opinions on school vouchers.

b. Americans strongly support school vouchers.

c. Americans strongly oppose school vouchers.

d. Most Americans have never heard of school vouchers.

e. Americans favor higher taxes to pay for vouchers.