Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

Skip to comments.

What Consensus?
Boston Review ^ | December/January 1996-97 | Paul Krugman

Posted on 09/14/2011 4:26:30 PM PDT by radioone

I don't want to seem to quibble with Richard Freeman's essay, since I am overwhelmingly in agreement with it. Let me just make a few points.

I like Freeman's idea of providing each individual with a trust fund when young rather than retirement benefits when old, but we had better realize that this is a significant change in the character of the social insurance system. Social Security is structured from the point of view of the recipients as if it were an ordinary retirement plan: what you get out depends on what you put in. So it does not look like a redistributionist scheme. In practice it has turned out to be strongly redistributionist, but only because of its Ponzi game aspect, in which each generation takes more out than it put in. Well, the Ponzi game will soon be over, thanks to changing demographics, so that the typical recipient henceforth will get only about as much as he or she put in (and today's young may well get less than they put in). HT/Newsbusters

(Excerpt) Read more at bostonreview.net ...


TOPICS: Politics
KEYWORDS: democrats; krugman; ponzischeme

1 posted on 09/14/2011 4:26:32 PM PDT by radioone
[ Post Reply | Private Reply | View Replies]

To: radioone

Hoisted on his own petard?


2 posted on 09/14/2011 4:38:03 PM PDT by ThirdMate
[ Post Reply | Private Reply | To 1 | View Replies]

To: radioone

Thanks to the Democrats and Republicans in Washington stealing the money in the SS fund and replacing it with useless IOUs ..


3 posted on 09/14/2011 4:38:25 PM PDT by RnMomof7
[ Post Reply | Private Reply | To 1 | View Replies]

To: ThirdMate
Hoisted on his own petard?

I think you misspelled retard.

4 posted on 09/14/2011 4:56:10 PM PDT by TruthShallSetYouFree ("Nanny Care State" is not a Division 3 football powerhouse.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: radioone

so that the typical recipient henceforth will get only about as much as he or she put in

Maybe if I live to be 90.


5 posted on 09/14/2011 5:50:45 PM PDT by Figment ("A communist is someone who reads Marx.An anti-communist is someone who understands Marx" R Reagan)
[ Post Reply | Private Reply | To 1 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson