Tag: Retirement

  Many people view the Federal Reserve’s role in monetary policy as an unqualified good. If there isn’t enough money in the economy, or if there is too much debt or deflation, then the Fed should print money until both situations are fixed.

  Simple.

 But it isn’t that simple.

Monetary policy is a zero-sum game. It’s much like Isaac Newton’s 3rd law of motion: for every action there is an equal and opposite reaction.

  Not only do many people fail to understand that, they are also under false impressions of what the reactions are and who they effect.

  The world of international finance, as it is practiced today, is a giant Ponzi scheme. The largest and most powerful Ponzi scheme in history. One of the first Ponzi schemes in history to actually be supported by the political leaders of the world.

 However, all Ponzi schemes must end poorly. They are designed to have a built-in failure. A Ponzi scheme only works when increases in value. You can’t have suckers investors selling.

If Republicans got their Way … there would be no more Medicare.

If Republicans got their Way … you couldn’t Retire until 70.

If Republicans got their Way … they’d privatize Social Security.

If Republicans got their Way … there would be no more Corporate income tax.

If Republicans got their Way … they’d eliminate taxes on Capital gains.

If Republicans got their Way … they’d cut in half the taxes of the richest 1 percent.

If Republicans got their Way … the Bush Tax Cut for the Rich would never end.

Factlets from The Republican’s Roadmap for America’s Future:

The Ryan Budget’s Radical Priorities

Center on Budget and Policy Priorities

By Paul N. Van de Water — July 7, 2010

If Republicans got their Way … Christine O’Donnell would be their new Class Treasurer!

If Republicans got their Way … there would be no more Medicare.

If Republicans got their Way … you couldn’t Retire until 70.

If Republicans got their Way … they’d privatize Social Security.

If Republicans got their Way … there would be no more Corporate income tax.

If Republicans got their Way … they’d eliminate taxes on Capital gains.

If Republicans got their Way … they’d cut in half the taxes of the richest 1 percent.

If Republicans got their Way … the Bush Tax Cut for the Rich would never end.

Factlets from The Republican’s Roadmap for America’s Future:

The Ryan Budget’s Radical Priorities

Center on Budget and Policy Priorities

By Paul N. Van de Water — July 7, 2010

The Ryan Budget’s Radical Priorities

Center on Budget and Policy Priorities

By Paul N. Van de Water — July 7, 2010

I. Summary

The Roadmap for America’s Future, which Rep. Paul Ryan (R-WI) – the ranking Republican on the House Budget Committee – released in late January, calls for radical policy changes that would result in a massive transfer of resources from the broad majority of Americans to the nation’s wealthiest individuals.[1]

The Roadmap would give the most affluent households a new round of very large, costly tax cuts by reducing income tax rates on high-income households;

eliminating income taxes on capital gains, dividends, and interest;

and abolishing the corporate income tax, the estate tax, and the alternative minimum tax.

At the same time, the Ryan plan would raise taxes for most middle-income families,

privatize a substantial portion of Social Security,

eliminate the tax exclusion for employer-sponsored health insurance,

end traditional Medicare and most of Medicaid,

and terminate the Children’s Health Insurance Program.

“The 401(k) system has to be fixed, and I don’t know anybody who can fix it but the federal government.”

– John Bogle

 Late last week the federal government began floating proposals for reforming America’s broken retirement system. The proposed reform centers around the idea of getting people to invest more conservatively and withdraw the money more slowly so that they don’t outlive their savings.

 The U.S. Treasury and Labor Departments will ask for public comment as soon as next week on ways to promote the conversion of 401(k) savings and Individual Retirement Accounts into annuities or other steady payment streams, according to Assistant Labor Secretary Phyllis C. Borzi and Deputy Assistant Treasury Secretary Mark Iwry, who are leading the effort.

 Secretary Iwry developed this idea when he was working at the Brooking Institute in 2008 in conjunction with the Heritage Foundation. The concept involves rolling people’s 401(k) savings into directed distribution plans unless they specifically elect not to participate.

 This probably sounds like a reasonable idea until you dig beneath the surface.