1) How individuals handle their personal 'credit card' debt is not the same topic as the FEDERAL GOVERNMENT'S DEFICIT PROBLEMS. (Individuals can't issue sovereign debt!)
I was using the example of individuals with credit card debt as an example. They are not as dissimilar as you might think though. If you think we can solve all of the problems at once you have more confidence than I do.
BTW - IMO the ability to print money is much like the ability to sign up for ever more credit cards, and dig deeper into debt.
I see much similarity between debt laden individuals and a debt laden country. Both are caused by an imbalance of revenues and expenditures. The formulas for getting into trouble and getting out are very similar.
2) While I agree that SS deserves attention and change, you can hardly make a case therefore for IGNORING THE EVEN BIGGER AND MORE IMMINENT FISCAL PROBLEMS.
We have a handle on the Social Security debate and the likely cost of fixing the problem. President Bush's proposed solution gives Americans an ownership in their retirement funds. That is an improvement. It is a great place to start with solving our fiscal crisis. It is good that you agree the problem needs to be solved.
3) Especially since the federal budget problems (soaring debt, corrupt and byzantine tax code, deficit financed pork barrel spending, etc., etc.) are all *inter-linked*, ie: synergistically affected, I can see little logic in starting with an non-imminent 'problem' that is not even at the top of the list for fiscal problems... while totally IGNORING larger, and more imminent concerns.
As you have seen, the debt as a percent of GDP is not soaring. Recent news reports indicate that the trade imbalance is shrinking. President Bush proposed eliminating many wasteful programs, and is demonstrating more fiscal restraint than any previous time as President. The debt is climbing more rapidly than most people realize because of the unenumerated liabilities caused by the PayGo system.
I am for solving all of our problems, but we have a President who has invested precious political capital in moving one major problem towards solution. I hate that he made the Medicare problem worse by extending the benefits, but it is past. Now we must solve the Social Security Crisis so that we gain the resolve to solve the other problems. |
