Posted on 08/28/2011 3:46:33 AM PDT by Cincinatus' Wife
OTTUMWA, Iowa - Riding high in the polls, Gov. Rick Perry rode into Iowa on Saturday with tough talk on President Obama, the economy and foreign policy and a declaration that Social Security is not only a Ponzi scheme but a "monstrous lie" for younger people.
"If you're for the status quo in America, I'm not your guy," Perry told an overflow crowd eager to see the presidential candidate at The Vine Coffeehouse, where people repeatedly sang God Bless America - once to try to encourage Perry to come in from shaking hands with people outside.
Asked by a woman in the crowd about Social Security being viewed as an entitlement program, Perry reiterated the suggestion in his anti-Washington book, Fed Up!, that the program amounts to a Ponzi scheme.
"It is a Ponzi scheme for these young people. The idea that they're working and paying into Social Security today, that the current program is going to be there for them, is a lie," Perry said. "It is a monstrous lie on this generation, and we can't do that to them."
Later, in Des Moines, when a reporter asked about the suggestion that his campaign was backing off some positions in the staunch states-rights book, Perry said, "I haven't backed off anything in my book. So read the book again and get it right."
National conversation
He told the Ottumwa crowd that for people who are drawing Social Security or near eligibility "like me," he wasn't proposing a change in the program. But he said there should be a national conversation about potential changes for others, including raising the age of eligibility and establishing a threshold based on a person's means.
(Excerpt) Read more at chron.com ...
If you aren't aware of the regulatory burden (and regulatory and tax uncertainty) and high tax rates on American businesses, I wouldn't begin to know how to bring you up to speed.
With regard to regulations on oil and gas exploration and development, I refer you to the EPA and, more specifically, what has happened in the Gulf since the BP spill (i.e. a moratorium on drilling for all intents and purposes).
As to the tax code, there needs to be a complete destruction of the existing code. It is the convoluted and outdated product of lobbyists and lawyers and payoff's made by congressmen to their supporters and has a hugely depressing effect on American business (not to mention the massive cost of implementation and collection). At this point, the Fair Tax would be an infinite improvement (but I would be open to any number of effective replacements).
And strangely, these are just a few improvements off the top of anyone's head. There are millions of things that need to be improved to make America a business-friendly environment again.
What do you recommend?
He names Counties in Texas where the employees have opted out and done well.
“And you took that and condensed it into a different statement.”
What’s different? Who pays? Who doesn’t pay?
Who pays you to post? “Obviously,” you’re accusing someone else because you have experience.
I don’t think we disagree on anything in your post.
I have not been on here constantly at all hours for weeks pimping Rick Perry. The poster has been here constantly pushing Perry for weeks. The are obviously associated with Perry.....
From the SS contributions report the SS admin sends each of us annually, I calculated my lifetime contribution together with my employer's contribution on my behalf. Assuming an absurdly low 5% ROI over the years (many of those years US treasuries paid higher rates), would have built a fund of $551,889.
The SS admin will pay me 4.2% of that fund per year for the rest of my life. At 5%, the SS admin will make 0.8% per year more than they will pay out. The SS admin can afford the benefit they pay me forever, and ultimately be left with more money than my labor's "contributed."
While I agree with his sentiments, you don't make Social Security reform a campaign issue, you focus on jobs, jobs, jobs.
His lack of discipline with his campaign message could be his eventual undoing.
“would have built a fund of $551,889”
rhetorical question.....I wonder where that money is now?
Thanks hocndoc. I am not associated with Perry’s campaign in any way shape or form — or any political party.
I do not get a paycheck or compensation for anything I post here on FR.
But those who find my posts offensive (informative) must find some way to discredit Rick Perry by trying to discredit me.
I don't want to take it away. I am not a purist. It is there. I see zero possibility of any group of politicans cancelling the program all together. It should be transformed such that it is invested in a mix of instruments (that each person can control) and each person should have their own account that government can't touch.
More importantly, if a worker participating in Social Security dies before retirement, he loses his contribution (though part of that money might go to surviving children, if any, or a spouse who didn’t work and therefore didn’t establish his or her own benefits). But a worker in the Alternate Plan owns his account, so the entire account belongs to the estate. There is also, among other benefits, a disability benefit that pays immediately upon injury, rather than waiting six months, plus other restrictions, as under Social Security.
And those who retire under the Galveston model do much better than Social Security. For example:……..”
You should run for president. You have all the talking points down.
Heheh...just a fed up America.
He more Perry talks, the more I like him.
Entitlement reform is all about explaining to fearful recipients that the system as it is is heading for disaster, and the only way to protect those who rely on it most is to reform it.
My thought is that 65 isn’t “elderly” and the SS and Medicare qualification age should be floated to maintain annual solvency. Then, let the AARP fight it out over SSI fraud and means testing.
SS does not become insolvent for years, at this point.
“And those who retire under the Galveston model do much better than Social Security. For example:……..””
There is no question that with competent management, fiscally sound retirement models can be created. All Americans should have access to these (not just local government employees).
However, As candidate Perry points out, Social Security isn’t one of the ways to accomplish this, unless one were to balance money coming in with money going out, and add sound practices managing fund balances. As you know, none of this was part of Social Security - it is, for all intents and purposes merely an inter-generational transfer payment funded out of current year tax receipts.
Any new system must be free of any obligations not incurred by the new system, and folks should be able to opt-out of Social Security.
The problem is that we don’t have the current tax receipts to pay everyone everything they want, and to provide everything else everyone wants. If we let people opt out of SS in favor of an actual, competently managed retirement program, then we have less tax revenue to redistribute to present SS recipients, and every other program that government funds.
That is why Perry, and every other politician is lying about what they will do with SS. They must have the tax revenue money, or they must cut the benefits and programs, or they must borrow the difference. We are at the point where borrowing is not feasible for much longer.
So what will Perry and other politicians do? They will most certainly not cut benefits. Borrowing will eventually stop, or become prohibitively expensive, but they’ll do as much of that as they can until they cannot any longer, and so they must....they must collect all the revenue that they can.
No politician, including Perry can change this reality. They must collect revenue, borrow, or reduce spending. There is no other way to get to a sound system. There is no way any politician will get elected on this platform.
So what will they do? They will lie. Every single one of them. When they fail to bring things into a financially sustainable mode, they’ll blame someone else.
The revenue side will collapse, the spending side will grow, and the borrowing will gradually become impossible.
When it all breaks, we’ll then decide who gets what out of whatever revenue pie is left.
“It is a Ponzi scheme for these young people. The idea that they’re working and paying into Social Security today, that the current program is going to be there for them, is a lie,” Perry said. “It is a monstrous lie on this generation, and we can’t do that to them”
Wow! Perry wants my vote! Perry’s number two now on my list, behind Cain, but ahead of Bachmann.
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