Privatization Opponents Support Tax Hikes, Government Investing
September 21, 2001
Opponents of privatizing Social security have been quick to criticize proposals
for individual accounts, but have resisted offering proposals of their own to
fix Social Security's looming financial problems. However, several privatization
opponents have recently begun to provide some suggestions of their plans. In
general, those proposals boil down to a) tax increases, b) benefit cuts, and/or
c) government investing. A sample follows:
The National Committee to Preserve Social Security and Medicare
- Supplement payroll taxes with general revenue;
- Increase the maximum wage base subject to payroll taxes;
- Expand coverage to newely hired state and local workers;
- Allow the government to invest a portion of the Social Security Trust Fund
Institute for America's Future
- Repeal the Bush tax cut and devote revenues to Social Security;
- Increase the maximum wage base subject to payroll taxes;
Henry Aaron, Brookings Institution
Allow the government to invest a portion of the Social Security Trust Fund
AARP
- Supplement payroll taxes with general revenue;
- Increase the maximum wage base subject to payroll taxes;
- Possible benefit adjustments;
- Allow the government to invest a portion of the Social Security Trust Fund
2002 Index | 2001 Index | 2000 Index | 1999 Index | 1998 Index
|
