talent, but his contributions includes many of today's social insurance programs. During the middle German Prime Minister Otto Von Bismarck may be most famous for his military and diplomatic of the 19th century, Germany, along with other European nations, experienced an unprecedented rash of workplace deaths and accidents as a result of growing industrialization. Motivated in part by Christian sympathy for the helpless as well as a practical political impulse  to get the support of the socialist labor movement, Chancellor Bismarck created the world's first workers' compensation  law in 1884. By 1908, the United States was the only industrial nation in the world that lacked workers' compensation insurance. America's injured workers could sue for damages in a court of law, but they still faced a number of tough legal barriers. For example, employees had to prove that their injuries directly resulted from employer negligence and that they themselves were ignorant about potential hazards in the workplace. The first state workers' compensation law in this country passed in 1911, and the program soon spread throughout the nation. After World War II, benefit payments to American workers did not keep up with the cost of living. In fact, real benefit levels were lower in the 1970s than they were in the 1940s, and in most states the maximum benefit was below the poverty level for a family of four. In 1970, President Richard Nixon set up a national commission to study the problems of workers' compensation. Two years later, the commission issued 19 key recommendations, including one that called for increasing compensation benefit levels to 100 percent of the states' average weekly wages. In fact, the average compensation benefit in America has climbed from 55 percent of the states' average weekly wages in 1972 to 97 percent today. But, as most studies show, every 10 percent increase in compensation benefits results in a 5 per cent increase in the numbers of workers who file for claims. And with so much more money floating in the workers' compensation system, it's not surprising that doctors and lawyers have helped themselves to a large slice of the growing pie. Which of the following statement is TRUE about America in the 1970s?
The poverty level from families increased when the compensation system was in workers'     favor. More money was assigned to the compensation system to improve workers' living conditions. There were fewer legal barriers for the injured workers to claim damages in a court of law. Increasing compensation benefits caused the result that more workers claimed for damages.