A good idea whose time has come.http://www.nytimes.com/2013/11/22/opinion/krugman-expanding-...
A good idea whose time has come.http://www.nytimes.com/2013/11/22/opinion/krugman-expanding-......One of the too often unspoken benefits of Social Security is that it takes a lot of old farts off the pay rolls, thus making more room for younger job seekers. (This was mentioned back in the 30, when SS first started, and they were desperate for more jobs.)IIRC, the retirement age in Germany is 60. OK, they pay more taxes, but they seem prosperous enough.CNC
<So there’s a strong case for expanding, not contracting, Social Security. Yes, this would cost money, and it would require additional taxes —>> Democrats are horrified at the prospect that they will actually have to pay benefits out of the Social Security "trust fund," which would explode the Federal deficit yet further.Just as Ronald Reagan guaranteed that the WWII generation would get paid full SS benefits by increasing payroll taxes, Democrats need to find a way to pay full benefits to the 'Boomer generation without using the trust fund.That means they need to increase taxes, just as Reagan did. But Gen X, Y and Z are wary of this, since THEY are the ones who would be paying yet higher taxes for someone else's retirement. So you need smoke and mirrors to hide what politicians are doing. "Increasing Benefits" to pay for the retirement of the Boomer generation while Gen X Y and Z gets socked with higher taxes is no doubt the preferred way of doing that. The benefit increases can be bogus, just as the idea that the "trust fund" would be increased to pay benefits to the Boomers was bogus.My solution:Use up EVERY DIME of the Social Security Trust fund to pay benefits! NO new or higher taxes on working people to pay benefits to someone else!Seattle Pioneer
Every administration since Johnson has taken $$$ out of the S.S. trust for other than what S.S. intended for. And place withdrawls with worthless IOUs.TB
You mean we break more windows to spur the economy?idiot Krugman at it again...Let's see...we'll rape the working guy even more to fund the lifestyles of those who haven't saved....then expect endless generations of folks will find a money fairy somewhere to pay the trillions in debt....... and fund their retirements.The fact that folks haven't saved enough means they'll just have to keep working or do with a a lot lessKrugman is an idiot. Then again so are most liberals thinking there is endless ways to tax and tax and tax and tax even more....never ending tax increasesuntil they keep ALL your money and dole out a pittance for you to live on so they have enough for the weenies and 'enhanced SS'.......which you likely won't get when you retire....but they'll take so much of your paycheck you'll never retire anyway since you have saved zero. Zero....as in ZeroNomics...as in Obama.......remember: Krugman the 'broken window' Keynesian....t.
TB"Every administration since Johnson has taken $$$ out of the S.S. trust for other than what S.S. intended for. And place withdrawls with worthless IOUs."The IOUs are not worthless as long as the government can borrow untold MORE trillions of dollars to redeem them.That's the problem.....And once you start 'redeeming' those IOUs to pay the SS benefits.....you either run up horrific debts...say quickly to 30 trillion or 50 trillion dollars....but if interest rates rise, your interest you have to pay on the national debt (not even repayment) will eat up 20-30% of the entire tax take each year....!....meaning you'll cut entitlement programs by 80%....the system will collapse at that point. That is only 5-8 years out....Unless you increases taxes on the average person by 20% a year.....say a sneaky 'Value Added Tax' or National Sales tax of , say 10%? (which will quickly rise to 20% within ten years)....t.
A good idea whose time has come.As that article says:And lower-income Americans, in case you haven’t noticed, are the people who need Social Security most.Sounds like its time to scrap SS totally and just call fold it up into the welfare system. Reduce the number of government programs and agencies. We could drop Medicare and Medicaid at the same time, replacing it with subsidies for the ObamaCare state exchanges. Put everyone under the same umbrellas.
"Every administration since Johnson has taken $$$ out of the S.S. trust for other than what S.S. intended for. And place withdrawls with worthless IOUs.TB "^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^A bunch of other bond-holders would really be uneasy if the IOUsturn out to be worthless.Howie52The intent is to make good on them - and the tax rates would go upto do so.The impact of higher tax rates is the fly in the ointment.However, there are other avenues to gain revenue.Sale of federal properties for one.
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