I'm on page 41 of the commission report. I'll admit, I haven't read every single word, but I see what they're getting at so far. The commission is recommending three options for augmenting
the current system, all involving voluntary
participation, each amounting to anywhere from an additional 1-4% above the current SS percentage withheld, two of the options having a $1,000 cap per annum.
What I gather so far is that, rather than raise taxes or cut benefits, they want to head off the projected shortfall caused by lowering contributor to beneficiary ratios by using private securities so that the net return will follow inflation/cost of living rises over time.
There is no mention of weaning the government off the program yet. It specifically states that the current system will remain in place, that the privatization part of it is an augmentation. I have to say this makes the progressive media guilty of exaggerating the privatization aspect of this, unless I haven't gotten to that part yet.
The problem I see so far is that while they say that return is guaranteed, they have yet to say just how they're going to accomplish it.Unless they have some magic machine that will suspend the laws of economics, the private investment portion will be subject to the same risks as the rest of the market, and therefore the same losses.
My bottom line impression so far is that this report is a HUGE sell job, over the top to the point that I don't trust their recommendations. Good research will speak for itself, and doesn't need to be spun. This is spinning like a top.
All of their pretty blue tables and figures are impressive, and illustrate what they wish to prove, but the whole time I'm reading it, my intuition's tugging at me that they're omitting the risks, like they don't want to look bad. Once again, not an indicator of good research.
RC, have you read/are you reading the report? If so, am I on the right track so far?
How about you, Haggis? You're pretty swift when it comes to things economic(he's pretty swift at a lot of things, especially compared to you, nitwit!)
. have you looked into this?
I'm trying to leave the jury out until I finish studying it