Re: Seminar: apologies, and further remarx

[Doug Henwood <dhenwood@xxxxxxxxx>]

Where, pray tell, does that money the public invests in the stock market go?

And what, Paul, do you think of JMK's observation that you cannot make
financial provision for the future? That line of argument would suggest
that pension funds are an economic illusion and that social security is
the way to go.

Doug

Doug Henwood [dhenwood@xxxxxxxxx]
Left Business Observer
212-874-4020 (voice)
212-874-3137 (fax)


On Tue, 1 Nov 1994, Paul Davidson wrote:

> FROM:  Paul Davidson
> "      Economics Department
> "      523 Stokely Management Center  (615) 974-4221
> Cmon Doug give me a break! The public has to find some liquid asset to keep
> its "savings" in.  Would you have government guarantees of all liquid assets?
> And after all MY personal biggest mutual fund holding is TIAA-CREF , i.e.,
> my pension! Would you like all pension funding to be in deposit accounts of dep
> ository institutions? Or should the public not have pensions? Or should the gov
> ernment guarantee all pensions? If you had your choice and the government
> would provide "insurance" (which has nothing to do with actuarial insurance
> but is strictly a guarantee of liquidity) would you prefer the government to
> guarantee your pension or your bank deposit?
>      If the stock market should have a huge crash comparable to 1929 and
> then remain depressed for the next decade, would you, Doug, argue workers
> had no business getting so deeply involved in pensions? Should the government
> phase out social security payments (via skipping COLA adjustments A la Rivlin)?
>   After all the public should not have become so deeply involved in a nonfunded
> Ponzi pension scheme!-))) -) (Just kidding folks, or am I?)
>
> Have a good day!____Paul Davidson
> ))))_ fax # (615) 974-1686
>