Enron did look like a Jackalope farm to everyone I knew that looked at it.
Well, OK, we should clearly punish everyone who slightly dumber than the people you know.
That said, the private accounts part of social security could easily have some investment restrictions (e.g., 50% in government bonds). The key is changing it from defined benefit - or rather undefined benefit - to defined contribution.
How is the "private" part of "private accounts" good?
Ok, you'd like to have access to higher-yield investments, I get that, and you'd like to leverage the raw brain power of the USA to help allocate those investments, I get that part. But I'd like to find a way for social security to help everybody, and it sure seems like a 401k-style eat-what-you-kill investment account is only going to help the smart, not-unlucky people. There ought to be a way to incentivize people to help social security make smart investment choices, and still share the wealth. But the word "private" just implies that "it's my money and I'm keeping it," when it really ought to be society's money.
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winterfish
no subject
Date: 2008-09-12 11:20 pm (UTC)Well, OK, we should clearly punish everyone who slightly dumber than the people you know.
That said, the private accounts part of social security could easily have some investment restrictions (e.g., 50% in government bonds). The key is changing it from defined benefit - or rather undefined benefit - to defined contribution.
How is the "private" part of "private accounts" good?
Ok, you'd like to have access to higher-yield investments, I get that, and you'd like to leverage the raw brain power of the USA to help allocate those investments, I get that part. But I'd like to find a way for social security to help everybody, and it sure seems like a 401k-style eat-what-you-kill investment account is only going to help the smart, not-unlucky people. There ought to be a way to incentivize people to help social security make smart investment choices, and still share the wealth. But the word "private" just implies that "it's my money and I'm keeping it," when it really ought to be society's money.