I know everybody is focused on the housing market and the financial crisis. But as I've pointed out before, what we're suffering now is NOTHING compared to what we're about to get hit with in terms of social security and medicare. Additionally, this also says nothing about the issue of pension funding. Social security is the government pension for all of us. But private pensions, especially in light of the sudden 40% drop in stock prices, are just as woefully underfunded.
This of course is not mentioned in the media because;
1. Journalism majors are complete inept at understanding, let alone, explaining things like underfunded pensions.
2. It takes away from the 24/7 Barack Obama Show and is one of the more serious threats that stands a good chance of sinking his presidency.
Ergo, since this is going to affect you all, I recommend Pension Tsunami.
The latest news explaining why the baby boomers will have to work past 62 despite what the politicians told you.
It doesn't make sense.
ReplyDeleteYou'll never hear about it because (a) it's a boring topic, and researching it would require wading through mountains of numbers; (b) all journalist ever do is repackage press releases and the pension funds are all saying, "relax, we're fine."
ReplyDeleteThey'll keep saying it even as the repo men are taking their desks and chairs away.
I'm reading "The Ageing of America", and it scares me. SS will end up looking like GM's pension fund.
ReplyDeleteCap'n has it right! SS and pension funds are in big trouble, i.e., the nation is bankrupt and merely cranking the handle on the printing press, here comes inflation. The problem could be solved by 1)reducing business taxes to 0%, 2)allow business to bring $ home at a 0% tax rate, 3)drill for gas and oil, this would add 3-5 million barrel per day, 4)allow and build coal and nuclear fired power plants, 5) reduce the minimum wage to zero and get out of the way. Wealth creation will over whelm. The next thing you know press gangs would be going into Mexico labor would be so short!
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