The Boomers' Time-Bomb Denial

Washington Post ^ | January 7, 2004 | Robert Samuelson

[cogitator]

"What's astonishing is that the problem has been known for decades. A prudent society would have prepared by adjusting federal retirement programs to emerging social and economic realities. People can pay for their own retirements through savings and, possibly, part-time work, or they can rely on others, mainly workers and taxpayers, to pay through government programs. As life expectancy improved, the obvious response was to begin gradually -- with much advanced warning -- raising eligibility ages and tying benefits more to income. This would have encouraged saving and tempered future increases in federal spending.

Little was done. Political leaders of the "greatest generation" ignored the future, and now their baby-boomer successors -- led by presidents Clinton and Bush -- are doing the same. But not all blame belongs with leaders. In a new book, "Who Will Pay?" economist Peter Heller of the International Monetary Fund observes that average citizens have been enablers of the politics of denial. No less than their leaders, they're shortsighted, he argues. Or perhaps just selfish."

[Screaming_Gerbil]

The unfunded liabilities of US government are roughly 30 trillion according to the GAO (multiply by Pi for the real number). Americans only hold about 40 trillion in wealth. In order for the government to honor its obligations it would have to seize nearly all private property. I suspect the true level of obligations greatly exceeds all privately held wealth in America.

Let's forget about trying to guess which number to multiply by to get the true total - Are those figures ($30 Trillion US government Unfunded liabilities / $40 Trillion wealth held by all Americans) true?

If so, that's quite shocking - and frightening in what it implies for our future.

[Xenalyte]

Under 25? Hell, I'm 35 and will never see one penny of my "contribution"!

[Xenalyte]

Did you retire at 50? If not, why would you join the American Association of Retired Persons?

[AdamSelene235]

Concord Coalition: Social Security Liabilities Top $24 Trillion

Plus

The Outstanding Public Debt as of 07 Jan 2004 at 10:39:07 PM GMT is:$ 6,994,196,896,291

Don't get me started about the cost of, say, I dunno, a GSE bailout.

[AdamSelene235]

Mind you 30 trill. is gooberment number. You know, the guys who were projecting budget surpluses as far as the eye could see? Since its a GAO #, I assume they are probably only understating by 3X or so. Congress is usually off by 10X. Fer instance,if you think Bush's 400 billion dollar expansion of Medicare is only going to cost 400 billion, I've got a bridge you might consider purchasing. Throw another couple trill on the pile.

This is how you destroy a civilization, folks.

[DumpsterDiver]

Did you retire at 50? If not, why would you join the American Association of Retired Persons?

You weren't asking me, so I'm just butting in here for a minute. :^)

I started working when I was 17, retired when I was 46, and I joined AARP when I was 50 because the membership fee was $35 for a ten year subscription to their propaganda.

I'm still not old enough to collect S.S. but I still think it's a program (along with MediCare) that should be abolished.

[NathanR]

The "Greatest Generation" were the ones who saddled us with Social Security, the Great Society, Abortion on Demand, Korea, Vietnam, a third-world educational system, and liberalism run amok in all sectors of government.

It was not the "Greatest Generation" which "saddled us" with Social Securith, but their parents, the so-called "Lost Generation". The problem was, that the "Trust Fund" got so big in the 60s that LBJ decided he could blow it on Medicare. (Never trust a politician with your money.)

[qam1]

Xer Ping

Ping list for the discussion of the politics and social aspects that directly effects Generation-X (Those born from 1965-1982) including all the spending previous generations (i.e. The Baby Boomers) are doing that Gen-X and Y will end up paying for.

Freep mail me to be added or dropped. See my home page for details.  

[xrp]

On another note: Gen X, Y and Z are going to take a beating when the boomers retire.

Not if we euthanize them. Facts: They stop working, they are no longer productive, no point in keeping them alive. Bye bye!

[Melinator]

Simple math. The "Greatest generation" spent their children's money in honour of themselves using "deficit financing" while hoarding their own retirement "savings". If they'd financed govt spending from their own earnings and equity, the money they now have in savings would be gone and Govt "debt" would be zero. Deficit financing and unfunded pension liabilities have America's children and grandchildren in hock up to their eyeballs, while mom, pop and gramps spend their hoardings on lifestyle and property. It's like maxing out a 100,000 line of credit at 18%p.a., setting aside 25,000 for yourself and then saying to your kids "this $25K is mine I scraped and saved for it - you pay back the debt, or pass it on to your kids."

The children aren't going to pay it back, they are going to CLAW it back from the ageing hands whut currently holds it.

[malakhi]

Thanks for the ping!

[qam1]

The "Greatest Generation" were the ones who saddled us with Social Security, the Great Society, Abortion on Demand, Korea, Vietnam, a third-world educational system, and liberalism run amok in all sectors of government. Young people today are forced to live with the social detritus from failed policies of the "Greatest Generation".

Not exactly.

If you think the abortion on demand "Culture" is solely because of Roe vs Wade then you are mistaken. It was the Worst Generation that took it to extremes we have today with things like lack of parental notification. And plus it doesn't matter what the law is, it was the worst generation that made abortion on demand acceptable and mainstream and eagerly took part in it.

And sorry but the destruction of the educational system falls entirely on the Worst Generation, They were given a good education by the Greatest Generation (which unfortunately too many used to become lawyers) and as the worst generation took over they turned it to §¶ï†.Instead of the 3 R's the worst generation got, Today with them in control of education we get Self esteem and Liberal Propaganda on things like multiculturalism and how America is evil and founded by evil slave owners.

As for the Greatest generation culpability, Yes I do hold them partly responsible however  

1) The greatest generation fought WWII and did whatever they could to build America up so a least they did something. The parasitic Baby Boomers have done nothing but take and have and continue to work to destroy this country and all it's values that made it great.  

2) At least when the greatest generation dabbed in Socialism at least we got some infrastructure out of it like a Hoover Dam or an Interstate highway system. The only infrastructure we get from Boomer socialism is another bloated bureaucracy.

3) When passing these laws the greatest generation couldn't have foreseen the burden they would be placing on future generations while now with the Worst Generation in control they know FULL WELL that with the way things are they will be really screwing the future generations and not only are they not doing anything to reverse/prevent it they continue to pile on and demand even more.

[Old Student]

Maybe we can recolonize what's left of Europe before I am due to retire again? Comments?

[Straight Vermonter]

"The republic will survive until the Congress discovers it can bribe the people with the people's own money." - Alexis de Tocqueville

[qam1]

Maybe we can recolonize what's left of Europe before I am due to retire again? Comments?

Too Late, Unless you want to convert to Islam forget about Europe. The only place becoming more and more capitalist is Russia so hopefully you like the cold weather. Then again maybe by retirement there will be colonies on the Moon and Mars we can flee to.

[rmmcdaniell]

Anyone 25 and under today is absolutely screwed. They will be enslaved by debt and massive (50-80%) federal tax rates to fund the boomer social insecurity entitlements. Thanks FDR.

And Bush massive new entitlements programs have nothing to do with this?

[rmmcdaniell]

Now that I am retired (as of Oct. 31st of last year), it sounds like some people want to change the rules so that I decrease so that they (the younger generation) increases.

Its not the youths' fault that your generation bought into the SS and medicare pyramid schemes. Any rational person could have seen this comming long ago.

[rmmcdaniell]

Gen X, Y and Z are going to bow to their masters. If the boomers want to increase Social Security and Medicare benefits, they will get it. If they want their offspring to foot the bill, they will get it. If they want politicians to make excuses for them, they will get it. IMHO-FWIW.

That's why there is (or at least was) a 2nd ammendment.

[mercy]

No they're not. They're going to revolt.