Date: Fri, 20 Jul 2001 09:01:45 -0400 From: "Peter Pflaum" <wiredbrain@earthlink.net> To: <synergynet@eGroups.com> Subject: Panel Argues for Changing Social Security Message-ID: <001501c1111d$15b6a660$1e44bfa8@pflaump>
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This is a multi-part message in MIME format. ------=_NextPart_000_0008_01C110FA.9A6281E0 Content-Type: multipart/alternative; boundary="----=_NextPart_001_0009_01C110FA.9A6BA9A0" ------=_NextPart_001_0009_01C110FA.9A6BA9A0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable The Bush commission's report said the key date was 2016. That is when = payroll tax revenues flowing into Social Security from workers and = employers will fall short of benefit payments for the first time. At = that point, the system will begin relying in part on interest payments = from its vast holdings of government bonds - the Social Security trust = fund. But the bonds and the interest on them are nothing more than commitments = by the government to help pay future benefits out of general tax = revenues, meaning that Social Security will begin to impinge on the rest = of the budget. http://www.nytimes.com/2001/07/20/politics/20SOCI.html Now if those "trust funds" were invested in other than IOU's from the = Government to the Government they could earn more and be real. = Individual accounts are much more complex - alternative investments = could include foreign bonds which would help the balance of payments - = Bank CD would add to domestic savings and lower interest rates , index = funds are not the only investment alternative.=20 http://www.wiredbrain.com/public-policy.htm suggests a Federal Assets = Management Agency - like other pension funds. If the surplus now coming = into the trust funds over the next 10 years were used to create a real = reserve fund - several trillion dollars would be in the fund. It would = remove the temptation to spend theses funds and have real earning = (compound interest) added to them.=20 ------=_NextPart_001_0009_01C110FA.9A6BA9A0 Content-Type: text/html; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable <!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> <HTML><HEAD> <META http-equiv=3DContent-Type content=3D"text/html; = charset=3Diso-8859-1"> <META content=3D"MSHTML 6.00.2479.6" name=3DGENERATOR> <STYLE></STYLE> </HEAD> <BODY bgColor=3D#d8d8e8> <DIV><STRONG><FONT face=3DTahoma size=3D2> <P>The Bush commission's report said the key date was 2016. That is when = payroll=20 tax revenues flowing into Social Security from workers and employers = will fall=20 short of benefit payments for the first time. At that point, the system = will=20 begin relying in part on interest payments from its vast holdings of = government=20 bonds =97 the Social Security trust fund.</P> <P>But the bonds and the interest on them are nothing more than = commitments by=20 the government to help pay future benefits out of general tax revenues, = meaning=20 that Social Security will begin to impinge on the rest of the=20 budget.</P></FONT></STRONG></DIV> <DIV> <A=20 href=3D"http://www.nytimes.com/2001/07/20/politics/20SOCI.html">http://ww= w.nytimes.com/2001/07/20/politics/20SOCI.html</A></DIV> <DIV><STRONG><FONT face=3DTahoma size=3D2></FONT></STRONG> </DIV> <DIV><STRONG><FONT face=3DTahoma size=3D2>Now if those "trust funds" = were invested=20 in other than IOU's from the Government to the Government they could = earn more=20 and be real. Individual accounts are much more complex - = alternative=20 investments could include foreign bonds which would help the balance of = payments=20 - Bank CD would add to domestic savings and lower interest rates , index = funds=20 are not the only investment alternative. </FONT></STRONG></DIV> <DIV><STRONG><FONT face=3DTahoma size=3D2></FONT></STRONG> </DIV> <DIV><STRONG><FONT face=3DTahoma size=3D2> <A=20 href=3D"http://www.wiredbrain.com/public-policy.htm">http://www.wiredbrai= n.com/public-policy.htm</A>=20 suggests a Federal Assets Management Agency - like other pension funds. = If the=20 surplus now coming into the trust funds over the next 10 years were used = to=20 create a real reserve fund - several trillion dollars would be in the = fund. It=20 would remove the temptation to spend theses funds and have real earning=20 (compound interest) added to them. </FONT></STRONG></DIV> <DIV><STRONG><FONT face=3DTahoma size=3D2></FONT></STRONG> </DIV> <DIV><STRONG><FONT face=3DTahoma = size=3D2></FONT></STRONG> </DIV></BODY></HTML> ------=_NextPart_001_0009_01C110FA.9A6BA9A0-- ------=_NextPart_000_0008_01C110FA.9A6281E0 Content-Type: application/octet-stream; name="Panel Argues for Changing Social Security.url" Content-Transfer-Encoding: 7bit Content-Disposition: attachment; filename="Panel Argues for Changing Social Security.url" [DEFAULT] BASEURL=http://www.nytimes.com/2001/07/20/politics/20SOCI.html [InternetShortcut] URL=http://www.nytimes.com/2001/07/20/politics/20SOCI.html Modified=406D07661611C10103 ------=_NextPart_000_0008_01C110FA.9A6281E0-- To Unsubscribe: send mail to majordomo@FreeBSD.org with "unsubscribe freebsd-hackers" in the body of the message
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