tag:blogger.com,1999:blog-19305198.post8966577452579002973..comments2024-03-18T19:36:10.480-04:00Comments on Assistant Village Idiot: Slow Ponzi SchemeAssistant Village Idiothttp://www.blogger.com/profile/01978011985085795099noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-19305198.post-21664063599839642312017-02-05T13:42:34.602-05:002017-02-05T13:42:34.602-05:00The SSA goes to some pains to fuzz the reality, to...The SSA goes to some pains to fuzz the reality, too, even down to the terminology they use being chosen to deceive (there's no other word, really) people into thinking Social Security is some kind of pension system, with "contributions" and "payouts".jaedhttps://www.blogger.com/profile/03328666344764784829noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-40744958639970651502017-02-04T21:12:25.115-05:002017-02-04T21:12:25.115-05:00There is no connection in financial reality, but t...There is no connection in financial reality, but there is in political reality, which is something of a problem. It used to be you were "entitled" to a benefit on the basis of contribution, but now even that tie is severed.Assistant Village Idiothttps://www.blogger.com/profile/01978011985085795099noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-39008191242260257522017-02-04T21:01:28.855-05:002017-02-04T21:01:28.855-05:00I think the Ponzi Scheme description of Social Sec...I think the Ponzi Scheme description of Social Security is meant to emphasize, as Roy implied, that the payments made to current retirees are made from current contributions rather than any type of investment income, exactly the way a Ponzi scheme functions (until it collapses). Therefore it is inaccurate to make any comparison between contributions and payments because no function links them.Christopher Bhttps://www.blogger.com/profile/00396671757183163171noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-38842848343557464412017-02-04T16:40:49.574-05:002017-02-04T16:40:49.574-05:00"(The authors note that different assumptions..."(The authors note that different assumptions for long-term returns on investment would change the results.)"<br /><br />Note that the article assumes that the money would otherwise be spent rather than invested. I've never seen an analysis similar to that used for pension plans which invest the contributions. But I guess that wouldn't apply because the politicians just kinda borrowed it all and spent it anyway.<br />Roy Lofquisthttps://www.blogger.com/profile/16536815900678298041noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-37060175088303252762017-02-04T15:26:10.136-05:002017-02-04T15:26:10.136-05:00I went looking for a detailed article and found so...I went looking for a detailed article and found some interesting stuff, which I have added to the OP. Assistant Village Idiothttps://www.blogger.com/profile/01978011985085795099noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-40340500924647007082017-02-04T14:10:50.857-05:002017-02-04T14:10:50.857-05:00This comment has been removed by the author.terrihttps://www.blogger.com/profile/12399706958844399216noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-26708536267681751332017-02-04T14:10:44.033-05:002017-02-04T14:10:44.033-05:00This comment has been removed by the author.terrihttps://www.blogger.com/profile/12399706958844399216noreply@blogger.comtag:blogger.com,1999:blog-19305198.post-76673352038837944112017-02-04T14:05:34.797-05:002017-02-04T14:05:34.797-05:00Is that 2.5 taking into account the employer contr...Is that 2.5 taking into account the employer contribution? If not, then that means people get. 05% more than what they paid into it...or 1.5 depending on what you mean. Do you mean I contribute $1000 and get $2500 which is actually 1.5 times what I paid (150% more). Or do you mean I pay $1000 and get $3500 (250%more).<br />terrihttps://www.blogger.com/profile/12399706958844399216noreply@blogger.com