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Monday, August 07, 2006
Jennifer Roback Morse :: Townhall.com Columnist
The Real Third Rail in Politics.
by Jennifer Roback Morse
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Social Security is often described as the Third Rail of Politics. You touch it, you die of electric shock and exit the political stage in a hearse. Incoming Secretary of Treasury Hank Paulson tested this proposition by giving his first major address on the subject of “entitlement reform,” aka Social Security. But behind the Third Rail of Social Security is the Real Third Rail a subject so toxic, no one even wants to think about it. But if we could deal with this Forbidden Topic, the Social Security problem would largely solve itself.

That Real Third Rail is fertility. No one wants to mention that the insolvency of the Social Security system is a fertility crisis at least as much as a fiscal crisis. It is considered rude to mention that the collapse in the fertility levels, particularly striking among the most gifted women in society, is a contributing factor to the insolvency of our entitlement programs.

America’s total fertility rate peaked in 1957 at 3.68 babies per woman. Today, our fertility rate hovers right around the replacement rate of 2.1. The fertility of college educated non-Hispanic white women is now around 1.7. Since these are the women whose children are most likely to become productive taxpaying citizens, their fall in fertility takes a particularly large toll on the future taxes paid into the Social Security system.

According to Laurence Kotlikoff and Scott Burns, authors of The Coming Generational Storm, the Social Security system does not recognize the contributions of working spouses. But the problem is even more acute: the system doesn’t recognize the contributions of non-working spouses either.

Nobody gets any credit for raising children.

When Social Security was established, people got married and stayed married for a lifetime. Most women stayed home and raised children. At the end of their lifetimes, most married couples were still together. The Social Security system took these family arrangements for granted.

In effect, both spouses made contributions to the Social Security system. The husband paid taxes. The wife raised children. When the family collected the pension, based on the husband’s income, both spouses shared it.

As most people now realize, however, the husband’s taxes don’t go into a little account with his name on it. Those taxes go to pay the benefits of the currently retired generation. The children, raised by the wife, become the taxpayers who actually make the contributions which support the parents in their old age. Continued...

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About The Author

Jennifer Roback Morse, Ph.D., is the author of Smart Sex: Finding Life-long Love In A Hook-up World. She blogs at jennifer-roback-morse.blogspot.com

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Carting before the horse
Mentioned in the article is the notion that women ought to have a 'value' in choosing motherhood.

Putting the cart before the horse won't work.

What has to happen is a 'value' in the hearts and souls of the American individual. Once we 'value' Mothers, and their contribution, then we can begin to explore potential avenues of monetizing or fleshing out that value in our society.

Another angle is, how can we turn around the devaluation of women and their role in our culture?

If we tackle values, we can tackle problems.

Until then, robbers will help themselves to Social Security and pension funds and women will neglect their children in order to replace those funds.

Illegal, immoral and downright dastardly deeds are being done at the heart of American politics.
We ought to pray and support value oriented politicals, not just party cookie cutters.

America is as strong as her trust in the God of the Bible, from Whom comes her values.

Raise the banner, Jennifer, don't look back.






More babies = more recipients later
Assuming we could indeed turn up fertility at will & have more kids, that would not be a long term solution. Tomorrow's baby boom would be the day after tomorrow's baby boom retiree generation.



Low birth rates correlate directly with increasing education, particularly as regards women. Women generally are at their most fertile between the ages of 15 and 24 (give or take, depending on what study you read) and IIRC some recent studies suggested fertility dropping off steeply shortly after age 24. Well, guess what: young adults typically complete post-graduate studies right around that age or a bit later. That goes a long way toward explaining why young teenagers seem to get pregnant from merely standing downwind of a guy, while married committed established educated career couples ready to have and support babies can’t seem to conceive.



And what young people are most likely to delay marriage and childbearing in pursuit of education and advanced degrees? The more intelligent and motivated ones, obviously. We are filtering the brightest, most motivated, and most educated out of the childbearing pool. I say that if you really want to encourage particularly the most intelligent, educated, and motivated young people to have more babies, you need societal policies much friendlier to their marriage and childrearing while they are still of college age and don’t have advanced degrees and hi-dollar careers yet.



However, the problem IMO with Social(ist) (In)Security is Social(ist) (In)Security, not birthrate stats. I retch when the FICA confiscation is referred to with stupid socialist euphemisms like “contributions.” It is an abomination and a crime against the American people, and every day money is deducted from our pay to feed it is a fresh offense. It was designed to create a class of persons dependent upon the federal government and its iron rice bowl.



Why do we face a crisis in paying SS (as in Shutzstaffel?) benefits to the near-future retirees? Why can’t we dip into that sack of money they were paying in during their working lives? Because it’s been spent already, folks, it’s gone, with nothing now to show for it except literal “iou”’s. The FICA tax has simply been nothing but a second income tax used to grow government while payment for the alleged obligations was just punted down the road. FICA cannot in any real sense be “invested” by government; it can only be removed from the economy, to be replaced by taxpayers later. The last thing I want to see is Social Security invested in the stock market. You can be sure a Title IX from Hell will be imposed as a condition of having one’s stock in the SS portfolio, among other ill effects. Don’t even think of going there!



Furthermore, my impression was that the recent resistance to SS reform did not come from the seniors per se, but from the AARP and other “liberal” socialist pressure groups ( & we all know the rank-&-file members of AARP do not control the organization), and from the elite political class itself. Like I said, this is all about creating dependence on government, & they don’t want their gravy train stopped.



Let’s here no more about making or importing more children to feed the monster; let’s focus on slaying it and ceasing to confiscate productivity from the young that they could instead be investing toward their retirements.
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