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Paul Krugman: You know we did raise the retirement age and raise the Social Security tax back in 1982 through the Greenspan Commission.  Because we knew that, you know, the baby boomers had all been born by then, and we knew it was coming.  And most estimates suggest that what we did back then is, if not quite enough, almost enough.  Social Security on some estimates actually is solvent for the indefinite future.  And the more cautious estimates, it might possibly face a financial shortfall beginning sometime in the 2040s.  Gee on the list of problems we have, that’s way down.  You know but it’s    . . .  It’s always interesting to have people who say, “Oh don’t worry about the budget deficit now.  Don’t worry about how we’re gonna pay for the Iraq war, but worry a lot about what might happen to the Social Security system in 2043.”  Boy you know, not . . . not . . . not . . .  At this point I think the best thing to do on Social Security is to say of the various parts of the federal government, that’s one of the parts that’s in the best . . . in the best financial shape.

 

More from the Big Idea for Friday, November 11 2011

 

Paul Krugman on the Retirem...

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