Jay Evensen
  • Front Page
  • Opinions
  • Second Thoughts
  • Portfolio
  • Awards
  • About

Social Security is worse off than you think

9/7/2012

0 Comments

 
Picture
How bad off is Social Security?

Well, apparently there are people on death row with a better long-term chance of survival.

Without using those words, that’s pretty much the conclusion of Charles Blahous. He is a senior research fellow at the Mercatus Center at George Mason University and a public trustee for Medicare and Social Security. He wrote a piece recently that argues things are a lot worse than people understand. (Read the full piece here.)

Blahous said we’re rapidly approaching the point where a political solution to Social Security’s woes is no longer possible. As it is, such a thing would require huge concessions by both sides. That means, “either progressives must accept substantial benefit growth reductions, conservatives substantial tax increases, or both.”

Because neither party is expected to hold a veto-proof majority in the near future, compromise is essential, but it’s also politically impractical.

Blahous uses figures and charts to argue that even the toughest solutions proposed today no longer will work.

“Individuals now planning their financial futures, whether as taxpayers or as beneficiaries, should be pricing in a substantial risk that the federal government will not be able to maintain Social Security as a self-financing, stand-alone program over the long term,” he wrote. “If Social Security financing corrections are not enacted in 2013, or at the very latest by 2015, it becomes fairly likely that they will not be enacted at all.”

Instead, the program might have to proceed as one that relies forever on subsidies from the general fund.

But that means it also would have to compete each year against other national priorities, rather than exist in its own dedicated trust fund (which until now has been routinely plundered to pay for other government expenses).

He paints a bleak picture, indeed. Most public reports are that the program’s real problems won’t begin until 2033. This, Blahous says, makes it seem as if the problems are remote and easily solved. That is not true.

Unfortunately, what is true is that neither party is coming to grips with the idea that, when it comes to the nation’s elderly, dithering is the cruelest act of all.

0 Comments

Your comment will be posted after it is approved.


Leave a Reply.

    RSS Feed

    Search this site


    Like what you read here?

      Please subscribe below, and we'll let you know when there is a new opinion.

    Enter your email address:

    Delivered by FeedBurner

    Picture

    The author

    Jay Evensen is the Senior Editorial Columnist of the Deseret News. He has nearly 40 years experience as a reporter, editor and editorial writer in Oklahoma, New York City, Las Vegas and Salt Lake City. He also has been an adjunct journalism professor at Brigham Young and Weber State universities.

    Archives

    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    April 2018
    March 2018
    February 2018
    January 2018
    December 2017
    November 2017
    October 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    June 2016
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    March 2015
    February 2015
    January 2015
    December 2014
    November 2014
    October 2014
    September 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    June 2012

    Categories

    All
    Campaign 2012
    Congress
    Crime
    Culture
    Iran
    Oil And Gas
    Poverty
    Steroids
    Taxes
    Utah
    Washington
    World Events
    World Events

    Links

    Deseret News
    Newslink
    Marianne Evensen's blog

Powered by Create your own unique website with customizable templates.