That is most certainly not how a bank works.
“They haven’t squandered it [i.e. the phantom “trust fund”]. SS has always been a pass through program, with current SS taxes matched to current SS payouts.”
What, then, does that have to do with a “trust fund”? There isn’t one, the way you describe it. There are taxes, and then there’re payouts. In reality there is all government revenue and all government spending, but let’s pretend SS taxes are special for argument’s sake. By the time you receive benefits whatever you paid is gone, and your SS income is dependent on taxing whoever happens to be working then.
So why didn’t you tell the other poster that, instead of saying “they haven’t squandered it”? What is the “it” they haven’t squandered? “It” doesn’t exist!
“So why didn’t you tell the other poster that, instead of saying “they haven’t squandered it”? What is the “it” they haven’t squandered? “It” doesn’t exist!”
Because I assumed that the poster had the intelligence necessary to realize that something that never existed could not be squandered. Evidently I didn’t take you into account.
“That is most certainly not how a bank works.””
And your expertise on how banks operate is what, exactly? You once wrote a paper on the money multiplier in a fractional reserve banking system did you? I’ll be thrilled to read your explanation of what banks do with the deposits they take in. Let me get some popcorn.
“By the time you receive benefits whatever you paid is gone, and your SS income is dependent on taxing whoever happens to be working then.”
That’s not exactly news. The SS system was set up to operate in precisely that fashion in order to prevent the economic drag that would result if cash were being drained from the economy by being warehoused in ‘trust funds’.