Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: tejek who wrote (195757)	7/24/2004 11:09:09 PM
From: i-node	Read Replies (1) \| Respond to of 1572805

>>> Is that it.......or don't you have the analytical skills and technical understanding to explain it? I've covered it before on this thread. If you're having to ask about it now, you are clearly not able to comprehend the subject matter. So you're saying that SS's future demands [its liabilities] exceed its ability to pay out [from its assets]. I believe that's roughly what I said. The correct term is "technical insolvency". And now wasn't your president's solution to this "technical insolvency' was to invest SS funds in the stock market aka as the biggest casino in the world? Correct. From a CPA's POV, did you agree with that approach? Absolutely. It is the ONLY solution to this particular problem, since it is the only chance we have of getting the earnings on the fund to a level that, over a period of 40-50 years, the compounding effect can begin to address the problem. I recognize basic business math is probably beyond your abilities. But a $1 investment grows as follows: ................ 3%............... 10% 30 years.......$2.43............$17.45 50 years.......$4.39...........$117.39 As you can see, over a 50 year period at a higher rate of return a relatively small amount of money might be able to begin to deal with the problem. At 3%, there isn't even a shot. Do you think it will take care of the technical insolvency? I think it is the best shot we have. If not, what is your solution? It is all we've got. There IS no other solution. Unless you know where, besides the stock market, you can get an 8, 9, or 10% annual return.