It is a little hard to take the position seriously when various people like Mitch have been decrying the impending bankruptcy status in 10–20 years for 30 or more years (to my memory).
I’m not sure why it’s hard to take seriously. It’s not the politicians saying it:
- Every quarter, the Fed Chairman gives public testimony to both the House and Congress and reminds them of it.
- Every year, the nonpartisan Trustees of the systems in question publish a report which states it clearly.
- Every year, you get in the mail a Social Security statement that says it.
As near as I can tell the difference is not technical but one of motivation.
It’s both. Social Security is definitely fixable; Medicaid used to be fixable, but I’m not sure if the Medicaid expansion that was part of the ACA changed that or not.
Medicare is not salvageable in its current form, however. Books and reports exist which outline the reasons why:
The Coming Generational Storm
How to avoid a fiscal crisis in the next generation- and how to protect yourself if the government acts too late…
This report, done almost 20 years ago for Treasury Sect Paul O’Neill, also dug into the numbers in depth; the situation has not improved since:
Alternatively, income tax revenues would have to be hiked
permanently by another two-thirds beginning immediately — increasing their share in gross domestic product (GDP) from 9.5 percent to 15.9 percent. Other (equally drastic) alternatives would be to cut Social Security and Medicare benefits by 45 percent immediately and forever, or permanently eliminate all future federal discretionary spending — although the latter policy still falls short by about $1.8 trillion. Moreover, the size of the necessary corrective policies will grow larger the longer their adoption is postponed. For example, waiting until just 2008 before initiating
corrective policies would require a permanent increase in wage taxes by 18.2 percentage points, rather than 16.6 percentage points if we began today.
Now, about 80% of that “need” is Medicare; the same program that the left wants to commit economic suicide with by expanding it at the same time it’s failing.
And, if we fix it without reform, those measures are ALSO economic suicide.
The world provides us plenty of examples of systems that are being kept operational.
Yep. And what works there won’t work here. The “it works over there, so wy not here” is not reason; it’s economic ignorance.