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Monday, October 15, 2007
Star Parker :: Townhall.com Columnist
Sen. Clinton ignores Social Security crisis
by Star Parker
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Will the Dems' health care Christmas Present to America be an improvement or detriment to our health care system?


The fact is that the Social Security problem, together with Medicare, is enormous, and together they amount to fiscal quicksand upon which our financial future precariously sits.

Economists from the Wharton School of Business and from the Cato Institute recently estimated in the Financial Analysts Journal the massive scope of our national debt and deficit if we properly accounted for the liabilities in Social Security and Medicare. National debt amounts to $64 trillion, or five times our gross national product, and our real deficit is $2.5 trillion, or the size of the whole federal budget.

Anyone who follows Mrs. Clinton's various proclamations and proposals over time will not be surprised that facts and truth are not her priority. The priority, of course, is saying whatever it takes, in her estimation, to get elected.

It makes sense that Clinton wants to push an issue as important as Social Security to the sidelines. The collapse of our entitlement programs testifies to the failure of government planning, and grabbing power and government planning define everything that she is about.

While the senator tells us that Social Security is not in crisis, she is proposing massive new government programs, including a hundred billion dollars plus in health care spending and $20 billion in a new government giveaway for retirement savings, that will sink us only into a deeper financial black hole.

Sadly, these burdens will disproportionately fall on the low -and middle -income families that Mrs. Clinton takes politically for granted. Thirty four percent of our Latino population and 32 percent of blacks are under 18, compared to 22 percent of non-Hispanic whites.

Worse, Mrs. Clinton's message to folks who need to hear that their ticket to prosperity is exercising personal responsibility in a free country is that without being dependent on government, their future is hopeless.

How the Democratic Party has changed since that January in 1961 when President John Kennedy made his inaugural appeal to "Ask not what your country can do for you -- ask what you can do for your country."

A far cry from Mrs. Clinton's "...fairness doesn't just happen. It requires the right government policies."

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About The Author
Star Parker is the founder and president of CURE, the Coalition for Urban Renewal & Education, a 501c3 think tank which explores and promotes market based public policy to fight poverty, as well as author of White Ghetto: How Middle Class America Reflects Inner City Decay.
 
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See, this is why I'm no Accountant
I just noticed my decimal point was off.

Oh well. Make it $10,000 instead of $100,000, and adjust all the other sums accordingly, and the point is still valid.

jim -- in case I missed it
First off, my condolences on the loss of your loved one.

But more importantly to the discussion, anecdotal evidence doesn't count. You might as well tell us that you bought $10,000 worth of Lottery tickets.

The vast majority of the people in the system will contribute in for up to a half century of their working lives, then die a few short years after they retire and start getting benefits out.

Although that is changing, in that people live a lot longer than they used to. Nevertheless, there are still lots of private vehicles that outperform Social Security by leaps and bounds.

Further, you don't really "own" that money. You get whatever you get by virtue of the good graces of Congress, and whatever their current whims are. If they decide to pass a law where you aren't eligible anymore, then **poof** that money evaporates. Such as, in response to people living longer, they decide to raise the retirement age.

Another consequence of not owning that money, you have no control over what happens to it after you're gone. Disposition of the money is literally at the whim of Congress. Private accounts can be willed to children, regardless of their circumstances. You can not only take care of yourself for your own retirement, you can help your kids out in the event you don't make it to retirement age.
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