The former Enron adviser, former economist, and now full-time cheerleader for socialist policies Paul Krugman tells his NY Times readers that there is nothing wrong with Social Security.
Don Boudreaux offers this devastating reply:
16 November 2007
The Editor, New York Times
229 West 43rd St.
New York, NY 10036
To the Editor:
Paul Krugman asserts that Social Security faces no financial crisis (“Played for
a Sucker,” November 16). His evidence? Peter Orszag’s and Philip Ellis’s
statement that the largest fiscal problem confronting Uncle Sam is the projected
growth in health-care costs. Mr. Krugman’s logic is as compelling as would be
that of a physician who concludes that tuberculosis isn’t a serious illness
because pancreatic cancer is even more lethal.
In 2005 testimony before Congress, the eminent economist Thomas Saving –
appointed by President Clinton to serve as a Public Trustee of the Social
Security and Medicare Trust Funds – acknowledged that Medicare and Medicaid are
in worse financial shape than is Social Security. But Mr. Saving also warned
that Social Security’s financial condition is precarious. Speaking for the
Trustees, Mr. Saving said that action to fix Social Security’s coming insolvency
“should not be deferred any longer than necessary for due deliberation and
decision.”*
Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University