John Stossel claims that Medicare and Social Security will soon be bankrupt. There is no political will in our country to do something about it. Or simply just broach the topic.
France’s President Macron recently increased the age at which people can retire from 62 to 64 in an effort to save the country’s pension system from collapse. Since then, there have been lengthy demonstrations.
Stossel wrote that in the United States, older adults sometimes shout at politicians who hint at such solutions, saying they have been stealing from their salary for years, and now they want the money back.
However, this is not the case, Stossel said. This is the money from today’s youth. The majority of retirement-aged persons receive back three times what they put in, which is news to most people.
Long ago, fewer than one-third of Americans made it to age 65. Only a few people qualified for Social Security benefits.
According to a report, Trump warned Congress not to reduce funding for Medicare and Social Security in his last speech as president. While many politicians and commentators may see Trump’s stance through the lens of appealing to older voters, it isn’t his primary motivation.
There is a substantial reason why Donald Trump was the only 2016 Republican contender who did not propose extensive changes to the present Social Security program, which was advocated by several of his rivals.
Former President Trump does not view these programs as “entitlements,” with the exception of those making over $250,000 a year, a group he has previously indicated he would be willing to negotiate with. The people of the United States contribute to the programs, and the government must honor the commitments it makes while collecting the money.
According to Trump, the problem with Social Security is more of a revenue and spending problem.
If the U.S. economy as a whole is expanding faster than the distribution required to meet its entitlement commitments, then there is no need for a drastic cut to spending. Maintaining healthy economic expansion should be a top priority.