The Best Thing that Didn't Happen During The Bush Administration, by Robert Reich

[swag]

http://robertreich.blogspot.com/2008/04/best-thing-that-didnt-happen-during.html

The best thing to have occurred during the Bush administration is something that did not happen. We did not privatize Social Security.

Had we done so, boomers facing retirement over the next few years would be even worse off than they are today. Now they’re struggling with pension plans worth less than they counted on, and home values that are tanking. At least they can rely on a monthly Social Security check.

But had we privatized, they’d be totally reliant on the stock market. And look what’s happened to the market: Compared to stock values ten years ago, the S&P 500 has risen a little over 1 percent a year, adjusted for inflation. Even Treasury bonds have done better. Go back nine years and there’s been no gain at all. Go back eight years and the market has been off an average of 1.4 percent a year.

Yes, I know, it’s been a rough time. First the tech bubble bursting, then 9/11, then Enron, then the housing bubble bursting, then the credit crunch. But that’s my point. We can’t necessarily rely on the stock market.

And anyone who thinks the market will shortly regain all the ground it’s lost has been drinking Wall Street cool-aid. The Fed can only do so much. The stimulus package is a laugh. Consumers paying much more for fuel and food and health insurance, with shrinking paychecks, large debts and declining home values, won’t be turning around this economy any time soon.

. . . more

[katmondoo]

1. I will thank God for that

[lordsummerisle]

2. That says a lot

W's biggest accomplishment is something he didn't do...

[shanti]

3. it's not over yet

don't think for a minute he's given up. SS is a tremendous pile 'o' money and probably the prize.

[Johonny]

4. home values that are tanking

Hmm my baby boom parents bought their house for 16 thousand. It's worth like 200 thousand now. Bought into a stock market that has risen over a factor of 10 in their life times. They both have jobs that pay an actual pension. They're also receiving S.S. check at 65 instead of having to wait until nearly 70. I'm not worried about them... it's me they're worried about because most of the economic events that occurred in the baby boomers life time are unlikely to happen to my generation. If baby boomers are bad off, I can't imagine my retirement:(

[DCKit]

5. Not to mention the fact that such a huge pot of money...

in the markets would have attracted every criminal on the planet like flies to poop. Knowing that SS was making regular (probably even timed) investments would have opened the door to all kinds of market manipulation to the detriment of the SS account(s).

[Hidden Stillness]

6. Social Security--Safer Than Capitalism Itself

The only reason Social Security was not commercialized and killed, was that older people were outraged and organized protest campaigns, letter-writing, calling their Representatives and Senators, etc., and holding forums for other older people to do all these things. It was not because of the "Democrats" who always, nowadays, wait for their Republicans to tell them what to do--"Well, maybe part of it should be privatzed," until you practically have to threaten their lives before they'll stop following their Republican masters. The very first sign of any kind, of the start of a revolt among the American people to all the Republican anti-Government corporate-rule, was this early effort of Bush/Cheney (and "D"LC slaves) to kill Social Security; those old people taught us all how to act and fight, yet again.

Social Security is one of the safest, best-run programs, and is the single most popular Federal program, according to polls. It invests wisely, has a great return on investments--better than the stock market--and very low administrative costs. One of the best explainers of the history, value, and easy fixes for Social Security, is Nancy Altman, author of the book "The Battle for Social Security--From FDR's Vision to Bush's Gamble." She just wrote a great editorial, in the current (April 23, 2008) issue of "Liberal Opinion Week," and available online at http://www.sltrib.com/opinion/ci_8895618 and called "Another Silent Spring."

[Marr]

7. Keep in mind, Bush admitted recently that his administration has

recognized the economy was tanking for a good long time, and that his happy talk was pure BS. They knew very well that their plans for SS would result in vast numbers of people being impoverished. They *wanted* that, and sold it as hard as they could.

I'd really like to hear the candidates talk about this, and I'd *love* to hear someone in the media state this plainly.

[lumberjack_jeff]

8. Exactly right. We have a short memory.

We forget how hard we fought for that one small victory.