| sc94597 said: In this case the government prevents the fraud. In Australia's system they essentially force people to get the equivalent of a 401k. Social Security is less secure because of changing demographics influencing the payout. |
Govenrment can never really prevent fraud fully.
Most governments are themselves corrupt and do most of the fraud.
Forcing people to get 401k and regulating is good
but still the government security isn't there,it only comes because govenrment cannot do an outright fraud as people will overthrow the govenment so they keep in line and maintain a certain standard and security
Social Security isn't less secure,you really have to look where and why demographic trends change and how to maintain the system.
Every country goes through a 250year cycle of Country formation aka USA 1776 and today 2015(close to 250years).this is an empire cycle where country grows and then decays
at the start demographics,production,economy grows and then at the end of the cycle it dies or is rejuvenated by an Empire-building(which USA is doing now - mexicans,muslims,indians,chinese,europeans,east,europeans coming in) and a revolution of political system
even changing demographics problem can be easily solved,the problem in USA is too much money printing and devaluing of the Dollar
