My Take on the S.O.U.
Well my Groundhog's Day post was a precursor to my opinion of the State of the Union Address. Besides the obvious camera tricks which makes the speech a spectacle for the cameras and a showcase for modern American marketing practices, President Bush's call for Private Savings Accounts has more holes then Swiss cheese.
In theory I like the idea of Private Saving Accounts, I mean who wouldn't? You get to keep your hard-earned money and you don't have to share it with anyone else. Those who make more then a certain amount per year will have the chance to have a safe and secure retirement. But the main problems occur when the numbers are actually processed. According to the NY Times costly annuities will be required to ensure the accounts are paid per month, but the principal cannot be inherited. The cost of the program has been forecasted to reach $660 Billion to $3.5 Trillion over a period of ten years when the program goes into effect. Remember, we will most likely still be involved in Iraq, so any costs created by the new retirement system will be on top of the funds used for Defense, Homeland Security, and the remaining national debt which has reached record highs under the Bush administration.
I know Republicans will argue that the costs were because of 9/11 and their is no price in spreading and securing freedom around the world, but the fact is that we must control our spending and ensure that our social security system is stable and is able to cover ALL Americans. A recent Editorial in the L.A. Times by Benjamin Barber, mentions how the creation of private accounts goes against the very essence of Freedom and Republicanism. How can we be one nation, indivisible, with Liberty and Justice for all when we replace US with ME? I know that Social Security will have reduced payouts for my generation. This should have been known 20 years ago when the service industry started to take off in America. As the number of low paying jobs grew, less and less money is being put into the system. The common good must overrule individual passions. The American economy is starting to show signs of economic strain, the FED has had to raise interest rates, the market has been slow to show any major signs of growth, and the U.S $ is very weak in Europe and the U.K.
We must ensure that selfish greed is checked by the needs and wants of the whole. I'm not advocating a Soviet Style structure, but we must ensure that the common good is ensured and not the satisfaction of personal wants. When the common good is ensured, personal need is protected.
posted by Will at 2/03/2005 02:59:00 PM
