Fiscally Conservative Democrats -- Not Necessarily a Contradiction

During one of the worst recessions in modern history, the senior citizens' lobby wanted to take $250 from working people and put the money into their own pockets. The measure failed, because the following Democratic Senators exercised restraint:

Bayh (D-IN)
Bennet (D-CO)
Carper (D-DE)
Feingold (D-WI)
Feinstein (D-CA)
Landrieu (D-LA)
Levin (D-MI)
McCaskill (D-MO)
Nelson (D-NE)
Shaheen (D-NH)
Udall (D-CO)
Warner (D-VA)

Both of Colorado's Senators appear to have good financial sense.

Dianne Feinstein seems to have enough job security to vote against the lobby's demands. Sadly, Barbara Boxer voted for the bill and seems to be doing everything she can to lose to Republican Tom Campbell in the next California election.

Russ Feingold did the right thing (he seems to do that a lot).

To Bernie Sanders from Vermont, who sponsored the bill: you need to go back and re-take basic math. No cost-of-living adjustment means there was no significant reported inflation. If prices in general didn't go up, why do benefits for senior citizens have to go up? We already expanded prescription drug coverage under the Bush administration, and senior citizens are eligible for Medi-care. What, exactly, is the problem, as long as senior citizens don't spend excessively? If you have a beef with the reported inflation numbers, then you go and address that issue, but please don't run straight to the taxpayers every time you get a harebrained idea.

Scott Burns on Senior Citizens and the AARP

Former Dallas Morning News financial writer Scott Burns tells it like it is:

http://assetbuilder.com/blogs/scott_burns/archive/2009/10/16/comparing-paychecks-workers-and-retirees.aspx

As far as I can tell, the goal of the AARP--- the American Association of Retired People--- is to enslave all those of working age. Once enslaved, workers will support retirees in the style to which the AARP feels they are entitled.

It's lovely to see someone speak the truth. It's really lovely when it comes from someone who stands to benefit from silence.

O'Neill on Social Security/Medicare: Ponzi Scheme

Paul O'Neill on Social Security and Medicare:

We've been spending money all along. It's a giant fraud; it's a giant Ponzi scheme. Every year we took the money and we spent it on other things.

There's a so-called famous lockbox in West Virginia I went to look at when I was secretary of the Treasury. You know what's in the lockbox? Actually it's a filing cabinet, and there are some pieces of paper that say, "We owe you." There's no money there; there are no investments there. There's nothing there but a piece of paper. That's a fraud.

People think, "Hey, I put money all my life in Social Security and Medicare." You didn't really. The government just took it and spent it on something else. There's no money there.

More here.

Pensions

If you're into pension reform, this book might be interesting:

http://www.amazon.com/US-Pension-Reform-Lessons-Countries/dp/0881324256

I haven't read it, so if you do, let me know if it's worth a look-see.

Scott Burns on Social Security

Scott Burns on Social Security--skip the first question and go to the second one:

http://assetbuilder.com/blogs/scott_burns/archive/2008/12/10/what-others-are-doing-with-their-401-k-money.aspx

I didn't know how the Social Security system really worked until I read Mr. Burn's response to the second question.