A summary of saving Social Security
a balanced approach
Edición de la obra A summary of saving Social Security
| Autor | Peter A. Diamond |
|---|---|
| Editorial | Massachusetts Institute of Technology, Dept. of Economics |
| Fecha de publicación | 2004 |
| Lugar | Cambridge, MA |
| Idioma | inglés |
| Páginas | 53 |
| OCLC | 55232385 |
| Serie | Working paper series / Massachusetts Institute of Technology, Dept. of Economics -- working paper 04-21 · Working paper (Massachusetts Institute of Technology. Dept. of Economics) -- no. 04-21. |
| Número de Cutter | D537s |
This paper reviews the financial position of Social Security, presents a plan for saving it, and discusses why Social Security revenue should not be diverted into individual accounts. Our approach preserves the value of Social Security in providing a basic level of benefits for workers and their families that cannot be decimated by stock market crashes or inflation, and that lasts for the life of the beneficiary; it increases benefits for some particularly needy groups such as those who have worked at low pay over long careers and widows and widowers with low benefits; it eliminates the long-term deficit in Social Security without resorting to accounting gimmicks, thereby putting the program and the federal budget on a sounder financial footing. Our plan combines revenue increases and benefit reductions - the same approach taken for reaching a consensus in the last major Social Security reform in 1983. Keywords: Social Security, actuarial balance, individual accounts. JEL Classifications: H550.