Kasz216 said:
mrstickball said:
Its scary that FDR build and LBJ expanded this system. It makes no sense that an entity can stand that takes trillions of dollars from people, does not invest it, then gives it to those that paid in. Social Security is essentially like digging a hole and putting the money in it as a means of security.
The worst part is that its screwing over so many people. Payments for SS are barely livable, while any decent pension system pays out multiples more than Social Security with few issues of solvency. Yes, there are cases of the Chicago teachers issue, but that is a small issue when compared to the potential of the entire Social Security system collapsing - that is, having no money and forcing austerity measures which will mean many people (litterally) starve to death. Its a scary thought to know that our system is headed that way in 10 years.
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Yeah... at the very least they should completely reverse the social security investment law.
FDR made it so that "The money in social security can only be used to invest in securities backed by the US government."
If anything it should be "The money in social security can only be used to invest in securities NOT backed by the US government."
Then have some smart investment guy take ahold of it. Hell, Warren Buffet seems to be feelikg philantropic lately. Ask him to leave Berkshire Hath and have him invest the nations social security fund. We'd be running suprluses in no time.
Works for Denmark.
Of course, the US government would be losing a lot of deficit hiding revenue... so i doubt they'd go for that.
It's not optimal, but it'd be a helluva lot better then what we have.
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Exactly.
The fact is, reforming SS to invest in private entities (e.g. stocks, bonds and other non-governmental securities) would kill two birds with one stone. First, it'd make it solvent. Secondly, you'd essentially be providing a massive multi-trillion dollar stimulus to the economy. That is something that even Keynesians should think was good for the economy :-p
