Social Security "Fix" Means More Taxes & Inflation


Personally, privatizing social security would probably be a good deal for me (ignoring that fund fees look like they'll be at least twice as much as in the current system). But if the goal is to let our government avoid skyrocketing inflation and taxes, then I fear that the promoters are being myopic. There's an issue I don't see being discussed: what happens to people who don't save enough or who retire during the next market crash or just choose the wrong set of stocks? Will we all say "tough luck, go live under the overpass and starve," or will we pay benefits to them, just as we do now with social security? Since I can't see us doing the first, that means we'll still be paying for social security benefits -- except that those with access to the best financial advice won't be contributing to the system. Sounds like a prescription for higher taxes and even higher inflation.

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