July 9, 2005

MAKE THE VULNERABLES IN THE SENATE DEFEND THE STATUS QUO:

Republicans retrench on Social Security fix (Amy Fagan, July 10, 2005, THE WASHINGTON TIMES)

Six months after Republicans began selling Social Security reform, they all but acknowledge that wide-scale changes won't happen this year. But knowing they must do something, they are pushing a narrower Social Security proposal in the House.

President Bush continues to campaign for comprehensive reform of the system, but Democrats oppose what they call privatization. Congressional Republican leaders realize the public expects action after hearing about the issue for months.

"We've told everyone the house is on fire. It's time to offer them a fire hose or a bucket or maybe a glass of water, depending on what the Senate can pass," said Rep. Adam H. Putnam, Florida Republican.

The answer, at least for House Republican leaders, seems to be a proposal to create personal accounts for workers younger than 55 using Social Security's annual surpluses. Republicans bill it as a first step in reform, although the plan doesn't fix long-term solvency problems.

Senate Democrats will have to filibuster that or SS is toast.

Posted by Orrin Judd at July 9, 2005 11:53 PM
Comments

Any change in the current SS system will be the first spot of gangrene on a wounded leg. It will continue to grow by natural progression.

The Dems know this in their hearts. The problem for them is that it's not possible to keep the status quo of SS forever.

Posted by: ray at July 10, 2005 11:16 AM

The answer, at least for House Republican leaders, seems to be a proposal to create personal accounts for workers younger than 55 using Social Security's annual surpluses.

That's the whole shebang in a nutshell.

Besides the demographic issues, the problem has been that Congress has been confiscating SS surpluses, replacing them with worthless IOUs.

If that misappropriation had been stopped fifteen years ago, SS might have had an outside shot at remaining solvent.

Posted by: Michael Herdegen at July 10, 2005 5:01 PM
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