Tuesday, November 14, 2006
The primary Social Security problem is a general fund problem
Message to Hoyer: until the Wall Street Journal agrees that the treasury bonds held by the Social Security trust fund are backed by the full faith and credit of the US government, there is no reason to either increase Social Security revenues or cut future Social Security benefits.
Right now, the primary problem is the general fund deficit. A fair amount of this will self-correct when the sunset clauses in legislation drafted by Bush and the GOP expire, and tax deferrals are phased out. But that won't happen for four more years, and might never happen if we increase Social Security surplusses in the short term.
Right now, the primary problem is the general fund deficit. A fair amount of this will self-correct when the sunset clauses in legislation drafted by Bush and the GOP expire, and tax deferrals are phased out. But that won't happen for four more years, and might never happen if we increase Social Security surplusses in the short term.
