Monday, December 17, 2012
Transformation in Progressives’ Outlook May Reduce Long-Run Costs of Entitlements | e21 - Economic Policies for the 21st Century
Policymakers should use the “fiscal cliff” and discussions over deficit reduction to fundamentally rethink the nature of U.S. entitlements. Current programs offer unsustainable benefit schedules not because old-age social insurance is not affordable per se, but because the type of social insurance provided in the U.S. involves graduated benefit structures designed for a different demographic environment. Huge savings could be gained by focusing social insurance programs on the core function of guarding against poverty and a lack of access to medical care in old age.
This is interesting. --ts