Maggie's Farm

Phantom wealth and SS trust fund fraud - the guy doesn't understand anything.

There can't be a SS trust fund. The government must instantly return to the economy every dollar it takes in, lest the money supply fall. This is even automatic, so if you try to arrange some savings fund, it winds up as the government holding an IOU and the money back in the economy. It can't be avoided.

So it's not a fraud. It's math. The government can't save because it's in charge of the money supply, and the latter task prevents the former.

Here's another secret : the nation can't save for retirement either.

What has to happen is that the retirement age rises to the point that the larger worker pool doesn't mind supporting the smaller retirement pool in return for the same deal for themselves in the future.

Stocks bonds and SS can't beat that invariant.

If stocks and too low a retirement age, you have too many sellers and too few buyers, and the price falls, reducing the savings of the would-be retiring people, who then have to work longer until the increased retirement age balances the supply and demand.

It's the same deal with social security.

The only fraud is the media not explaining the facts of mathematics that are out there in plain sight.