"Piglet Sodomizer" on debt

[camberiu]

New article from Gary North (known in this board as the "piglet sodomizer" by some)on retirement and debt. Despite the claim by some in this forum, I am yet to read an article from Gary North where he claims that society is about to collapse, that people should move to a bunker and buy guns. This article is no different and all his analysis and advice are given under the assumption that we will continue to have a fully functional society and economy. It would be great to hear your opinions and criticism ABOUT THE ARTICLE (instead of the author, I do not care if he sodomizes piglets or not during his personal time).

http://www.lewrockwell.com/north/north528.html

[MasterBlaster]

Well whatever you think of the author, I agree with his premise that the "promise" of SS and Medicare will be reneged on. These programs are, as the author points out, unsustainable over the foreseeable future. The only question then is... To what degree will they renege on their promise and how will it affect me ?

[d]

Quote:

Originally Posted by Masterblaster Well whatever you think of the author, I agree with his premise that the "promise" of SS and Medicare will be reneged on. These programs are, as the author points out, unsustainable over the foreseeable future. The only question then is... To what degree will they renege on their promise and how will it affect me ?

ditto

[cute fuzzy bunny]

I notice on my most recent social security statement claims that by 2040 the fund will be exhausted and that incoming monies will only be able to pay 74c on the dollar to beneficiaries.

Although I think this is on every statement from the past, and I also think the year keeps getting stepped forward.

That having been said, when a government agency starts asterisking stuff and noting that they arent going to be paying as well in the future, chances are somewhere in the future they arent going to be paying as well. Otherwise, why go to the trouble of rousing the rabble?

[MasterBlaster]

I have noticed the difference in SS statements as well. They used to have babel like "Social Security will be there for you" and such.

Now they say, here is your benefit under current law, but that could all change depending on legislation...

[MasterBlaster]

Quote:

Originally Posted by Cute Fuzzy Bunny I notice on my most recent social security statement claims that by 2040 the fund will be exhausted and that incoming monies will only be able to pay 74c on the dollar to beneficiaries.

That 2040 exhaustion date assumes that there is indeed a Social Security "Trust Fund". Some of us know better

[cute fuzzy bunny]

With that in mind, they also note that in ten years they'll be taking in less than they're paying out.

I guess all the folks holding those IOU's will just pay up out of their own pockets to make it all right, yes?

[Texas Proud]

I think he is mixing up some of his 'debts'....

Nobody has a debt to their parents or other elderly... some help out, others don't.... it was a big hit or miss on who had enough when they 'retired'... there were many who had nothing...

And... when SS was first started.. a lot of people were dead before they got anything or shortly thereafter... so the 'debt' was not that big...

And it is not the end of the world if we only get 74cents on the dollar when we retire... for some it will make it very hard.. but for others it will not matter at all..

Now, Medicare IS the problem... the drug program never should have been passed... and there will be some major changes to this program before I am on it... hopefully, there will be some kind of insurance program that I can buy that will cover me when it occurs...

[Texas Proud]

Quote:

Originally Posted by Cute Fuzzy Bunny With that in mind, they also note that in ten years they'll be taking in less than they're paying out. I guess all the folks holding those IOU's will just pay up out of their own pockets to make it all right, yes?

It is the other parts of the gvmt that holds those IOUs.... They will borrow more money so they can pay them off.... not a problem :

[teejayevans]

Quote:

Originally Posted by Texas Proud It is the other parts of the gvmt that holds those IOUs.... They will borrow more money so they can pay them off.... not a problem :

They'll just increase the taxes so that $in = $out, problem solved, next?
TJ