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View Diary: Entitlement Programs or Retirement Insurance Programs? It matters. (49 comments)

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  •  The problem with a 401K is that it is subject (1+ / 0-)
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    to the vicissitudes of a non-free market.
    So it is working out to be not such a good form of retirement insurance. It is way too dependent on timing and choices made using variables out of your control or ken, often with rather high administrative overhead.
    In many cases, you paid into it, others have profited greatly from it, while you lost.

    Social Security on the other hand is a solid investment with very low costs, backed by the "full faith and credit" of the US government. And holding an enormous surplus in reserve now (what we have all paid into over a lifetime) in the form of US T-bills that must be repaid when required.
    Or do they?
    The Rescummies (and some Dems) have been trying everything they can think of to effectively steal that $2.8 Trillion (which was essentially transferred to the wealthy in the form of tax cuts) by not honoring the obligation to repay those T-bills.
    Mostly because repayment is going to require reversing those tax cuts and even raising taxes to meet the obligation.

    "Double, double, toile and trouble; Fire burne, and Cauldron bubble... By the pricking of my Thumbes, Something wicked this way comes": Republicans Willkommen auf das Vierte Reich! Sie Angelegenheit nicht mehr.

    by Bluefin on Sun Jul 10, 2011 at 12:30:53 PM PDT

    [ Parent ]

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