Senators Bennett & Reed question Fed Chair Bernanke about 'entitlements' and taxes

[democracy1st]

Run time: 07:03 https://www.youtube.com/watch?v=xjgT5L4e7CA   Posted on YouTube: December 04, 2009 By YouTube Member: Views on YouTube: 0   Posted on DU: December 09, 2009 By DU Member: democracy1st Views on DU: 378

 
Senators Bennett & Reed question Fed Chair Bernanke about 'entitlements' and taxes
This Fed Chair confirmation hearing was Thursday, December 3, 2009
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[freedom fighter jh]

1. "It's only mandatory until Congress says it's not mandatory."

And the Fed has the power to create money only so long as the government says they do.

If all money were created by the government to fund government programs, rather than much of it being created by the Fed for banks to lend out, there would be no pressure to end entitlement programs to pay the national debt.

Social security is funded by a regressive tax -- that is, a tax that takes a greater percentage of your income if your income is low. That is outrageous to start with. After people of modest means have been paying 7.5% of their income to soc sec (15% if they work for themselves), besides all the other taxes, how are they expected to put money away for retirement? Congress has a moral obligation to pay social security.

Let the government get money by changing the Fed system.

[JDPriestly]

2. Sounds like Bernanke blames older people for our budget deficit.

During the Reagan era, our Social Security taxes were increased to offset the impact that the baby boomer retirements would have on Social Security and Medicare.

It's not the fault of those of us who are now older that the money was spent by the Bush administration on the Iraq War (from which we have gained absolutely nothing and lost lives and treasure).

Further, if we put an end to outsourcing of American jobs, if our factories had not been looted, if our production capacity had not been transferred to China and other cheap labor countries, we would have plenty of jobs and healthy people over 65 would still be working -- and not taking Social Security.

Further, if congress enhanced the laws prohibiting age discrimination including imposing multiple damage awards on age discrimination, more older people would be working. The problem is not the entitlements but rather unemployment and age discrimination.