Welcome to the Vitus Capital Blog!
Notes to myself, possibly of interest to others.
-- Bill Northlich

Sunday, September 11, 2011

Social Security, Medicare down = Wall Street Up. A Palliative from - Yikes! - France?

Overwhelming majorities of every group, including Republicans and self-identified supporters of the Tea Party, are opposed to cuts to Social Security and Medicare. The only people who seem to support such cuts are wealthy people...

The reality is that Social Security is easily affordable as everyone familiar with the projections knows. According to the latest projections from the Congressional Budget Office the program can pay every penny of benefits for more than a quarter century with no changes whatsoever. To make the program fully solvent throughout its 75-year planning horizon would require a tax increase is equal to 5 percent of the wage growth projected over the next 30 years...

Medicare is more of an issue, but that is because the U.S. health care system is broken. We already pay more than twice as much per person for our health care as people in other wealthy countries. This gap is projected to increase in the decades ahead. If we had the same per person health care costs as any other wealthy country we would be looking at huge budget surpluses, not deficits...

The large deficits the country currently faces are due to an economic collapse caused by Wall Street greed and the incompetence of people with names like Alan Greenspan, Ben Bernanke, and Hank Paulson...

[How about] a financial speculation tax like the one recently proposed German Chancellor Angela Merkel and French President Nicolas Sarkozy.
---Dean Baker

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