RE: Social Security Petition

["David Shemano" <dshemano@xxxxxxxxxx>]

Matthew Forstater wrote:

<<<The Center for Full Employment and Price Stability's Open Letter to U.S.
Congress on Social Security can now be viewed on-line.  Those wishing to
sign the petition may also do so at the same site:

http://www.cfeps.org/petition.html>>>

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This is from the "Open Letter"

"Finally, while it should be apparent that a Trust Fund cannot help to
reduce future financial burdens or real burdens, it should be just as
obvious that privatization cannot help, either. Even leaving aside the
obvious questions about volatility of financial markets as well as
substantial management fees that reduce returns, society does not and cannot
provide for its future through such financial means. Tomorrow's workers will
have to provide the goods and services required by tomorrow's retirees."

If it is true that the "Trust Fund cannot help to reduce future financial
burdens or real burdens," which I think is unmistakably true, what is the
justification for running a social security surplus today, other than as a
regressive tax to fund general expenditures?  Is there any legitimate
argument, then, against immediately reducing payroll taxes?

It is also true that "Tomorrow's workers will have to provide the goods and
services required by tomorrow's retirees."  However, is that not the same
thing as saying that today's workers are obligating tomorrow's workers to
pay for today's workers retirement?  Perhaps tomorrow's workers, if given
the choice, would like to spend the additional 2% of GDP (let alone the
existing 5% of GDP), to reduce childhood poverty, or cleanup the
environment, or cut taxes.  But that decision will not be allowed, because
of this generation's decisions.  Where is the justice in that?

David Shemano