A Blast from the Past
Posted by Mike O on August 11, 2009
Read through this carefully; as you do so, many of the numbers may seem ludicrous. The reason they do is after the quotation:
Now — we’re for a provision that destitution should not follow unemployment by reason of old age, and to that end we’ve accepted Social Security as a step toward meeting the problem.
But we’re against those entrusted with this program when they practice deception regarding its fiscal shortcomings, when they charge that any criticism of the program means that we want to end payments to those people who depend on them for a livelihood. They’ve called it “insurance” to us in a hundred million pieces of literature. But then they appeared before the Supreme Court and they testified it was a welfare program. They only use the term “insurance” to sell it to the people. And they said Social Security dues are a tax for the general use of the government, and the government has used that tax. There is no fund, because Robert Byers, the actuarial head, appeared before a congressional committee and admitted that Social Security as of this moment is 298 billion dollars in the hole. But he said there should be no cause for worry because as long as they have the power to tax, they could always take away from the people whatever they needed to bail them out of trouble. And they’re doing just that.
A young man, 21 years of age, working at an average salary — his Social Security contribution would, in the open market, buy him an insurance policy that would guarantee 220 dollars a month at age 65. The government promises 127. He could live it up until he’s 31 and then take out a policy that would pay more than Social Security. Now are we so lacking in business sense that we can’t put this program on a sound basis, so that people who do require those payments will find they can get them when they’re due — that the cupboard isn’t bare?
The reson the number look so ridiculous? Because these were the words I heard spoken by an exceptionally eloquent speaker…. Ronald Reagan on May 10th, 1964 in Hutchinson, Kansas (it was a canned speech he used many times). The warnings were issued even back then by the conservative movement… and have been ignored by both parties. Now the chickens are starting to roost, with our annual debt exceeding the total obligation of Social Security back then. And the Social Security/Medicare current obligation exceeds $100 Trillion.