News from Australia: Bush social security plan an "ALL-AROUND LOSER"

[Bluebear]

Told as only a foreign JOURNALIST can.....



For months President George Bush stumped around the country, campaigning for changes to the social security system. He tried to convince Americans that the current social security system was financially unsustainable, talking up the idea that workers ought to be able to divert some of their social security taxes into individual accounts.

His campaign didn't work. Opinion polls show support for his ideas flagging, along with his personal poll numbers.

He had only just finished his tour when United Airlines, which has been in bankruptcy for almost three years, managed to convince a judge that it could renege on its employee pension obligations, dumping $US6.6 billion ($8.7 billion) of liabilities on to the taxpayer-backed Pension Benefit Guaranty Corporation. It was a classic case of privatising the profits and socialising the losses......

President Bush, whose big tax cuts, plus increased defence spending, have led to the budget deficit, has asked a special committee to look at the American tax system and recommend changes, which could include a value-added tax like the GST. But he's also specified that any proposal cannot increase the total tax take.

The quickest solution to America's problems would be to cancel Bush's tax cuts, which cost almost three times the actuarial deficit of the long-term social security deficit. But the Republican Congress seems determined to entrench them permanently.

more
http://www.smh.com.au/news/Business/Bush-pension-plan-an-allround-loser/2005/06/06/1117910240234.html?oneclick=true

[Mel]

1. thank you for posting

I wish we could see more reporting like this in the US.

[Bluebear]

2. That could happen!

not! ;)