Final answer:
The Social Security Act is a multifaceted program that provides old-age pensions, unemployment insurance, and other forms of financial assistance. It was enacted on August 14, 1935, as part of Roosevelt's New Deal to combat poverty and unemployment. 'All of the above' is the correct characterization of the Social Security Act.
Step-by-step explanation:
What is the Social Security Act?
The Social Security Act is both a historical federal law and a program aimed at providing financial assistance to various groups in need. Passed on August 14, 1935, the act was part of President Franklin D. Roosevelt's New Deal and sought to address issues of poverty and unemployment that arose from the Great Depression.
To characterize the Social Security Act, option 4) 'All of the above' is the correct answer. It is indeed a law passed on August 14, 1935 (1), a program providing financial assistance to retired and disabled individuals (2), and a government initiative to address poverty and unemployment (3). The act established a social insurance program offering old-age pensions, unemployment insurance, assistance for the disabled, and support for dependent children and families. Funds for the program are acquired through a payroll tax contributed by both employers and employees.
Initially, the act provided a foundation for retirement income but was not intended to be the sole income source for retirees. Over time, the scope of Social Security has greatly expanded, becoming a critical aspect of the nation's social safety net and having a significant impact on reducing elderly poverty rates.