[Christian_Capitalist]

Does anyone know how Singapore runs its version of social security? I remember reading it was not a ponzi scheme and citizens had actual private accounts.

"Singapore would appear well-prepared to tackle the problems of an ageing population. Along with Japan and Malaysia, it is one of the few Asian countries that can claim near-universal coverage for its pension scheme. Its medical facilities are excellent and housing for the elderly is available.

Moreover, economists have lauded Singapore for avoiding the pitfalls of erecting an expensive welfare state that diverts government funds from economic development. Social security is largely financed by mandatory savings accounts for each citizen. The requirement that workers must contribute to personal savings accounts has meant that Singapore has among the highest saving and investment rates in the world."
~~ http://singaporeelection.blogspot.com/2007/03/singapores-social-security-system.html

Personally, I don't believe that Government should FORCE people to save for retirement at all -- look, I'm a HUGE fan of saving and investing; the wife and I aren't rich, but we save and invest what we can. But what if we have a baby next year, and need to spend a few extra dollars on infant care, if (God forbid) the baby gets sick or something? Every government mandate deprives an individual of their own free choices -- choices which may actually be matters of life or death, but which aren't factored into the one-size-fits-all Government mandate.

That being said, privately-funded accounts do make for a more solvent social security system than our own pay-go ponzi scheme. It's not the ideal of economic freedom for which we should strive; but it's maybe a little bit less economically insane than what we have now.

[Oratam]

Thanks.