Stealing from Social Security to Pay for Wars and Bailouts
Instead of investing our Social Security payroll deductions the US government wasted them on blowing up infrastructure and people in foreign lands
… Republicans tell us that our grandchildren are being saddled with impossible debt burdens because of handouts to retirees and the poor. $3 trillion wars are necessary and have nothing to do with the growth of the public debt. The public debt is due to unnecessary “welfare” that workers paid for with a 15% payroll tax.
When you hear a Republican sneer “entitlement,” he or she is referring to Social Security and Medicare, for which people have paid 15% of their wages for their working lifetime. But when a Republican sneers, he or she is saying “welfare.” To the distorted mind of a Republican, Social Security and Medicare are undeserved welfare payments to people who over-consumed for a lifetime and did not save for their old age needs.
America can be strong again once we get rid of these welfare leeches.
Once we are rid of these leeches, we can really fight wars. And show people who is boss.
Republicans regard Social Security as an “unfunded liability,” that is, a giveaway that is
interfering with our war-making ability.
Alas, Social Security is an unfunded liability, because all the money working people put into it was stolen by Republicans and Democrats in order to pay for wars and bailouts for mega-rich bankers like Goldman Sachs.
What I am about to tell you might come as a shock, but it is the absolute truth, which you can verify for yourself by going online to the government’s annual OASDI and HI reports. According to the official 2010 Social Security reports, between 1984 and 2009 the American people contributed $2 trillion, that is $2,000 billion, more to Social Security and Medicare in payroll taxes than was paid out in benefits.
What happened to the surplus $2,000 billion, or $2,000,000,000,000.
The government spent it.
Over the past quarter century, $2 trillion in Social Security and Medicare revenues have been used to finance wars and pork-barrel projects of the US government.
Depending on assumptions about population growth, income growth and other factors, Social Security continues to be in the black until after 2025 or 2035 under the “high cost” and “intermediate” assumptions and the current payroll tax rate of 15.3% based on the revenues paid in and the interest on those surplus revenues. Under the low cost scenario, Social Security (OASDI) will have produced surplus revenues of $31.6 trillion by 2085. […]
The subsidy to the US government from the payroll tax is larger than the $2 trillion in excess revenue collections over payouts. The subsidy of the Social Security payroll tax to the government also includes the fact that $2.8 trillion of US government debt obligations are not in the market. If the national debt held by the public were $2.8 trillion larger, so would be the debt service costs and most likely also the interest rate.
The money left over for war would be even smaller. More would have to be borrowed or printed.
The difference between the $2 trillion in excess Social Security revenues and the $2.8 trillion figure is the $0.8 trillion that is the accumulated interest over the years on the mounting $2 trillion in debt, if the Treasury had had to issue bonds, instead of non-marketable IOUs, to the Social Security Trust Fund. When the budget is in deficit, the Treasury pays interest by issuing new bonds in the amount of the interest due. In other words, the interest on the debt adds to the debt outstanding.
The robbed Social Security Trust Fund can only be made good by the US Treasury issuing another $2.8 trillion in US government debt to pay off its IOUs to the fund.
When a government is faced with a $14 trillion public debt growing by trillion dollar deficits as far as the eye can see, how does it add another $2.8 trillion to the mix?
Only with great difficulty.
Therefore, to avoid repaying the $2.8 trillion that the government has stolen for its wars and bailouts for mega-rich bankers, the right-wing has selected entitlements as the sacrificial lamb.
A government that runs a deficit too large to finance by borrowing will print money as long as it can. When the printing press begins to push up inflation and push down the exchange value of the dollar, the government will be tempted to reduce its debt by reneging on entitlements or by confiscating private assets such as pension funds. When it has confiscated private assets and reneged on public obligations, nothing is left but the printing press.
We owe the end-time situation that we face to open-ended wars and to an unregulated financial system concentrated in a few hands that produces financial crises by leveraging debt to irresponsible levels.
The government of the United States does not represent the American people. It represents the oligarchs. The way campaign finance and elections are structured, the American people cannot take back their government by voting. A once proud and free people have been reduced to serfdom.
- Click to share on Twitter (Opens in new window)
- Click to email this to a friend (Opens in new window)
- Click to print (Opens in new window)
- Click to share on Reddit (Opens in new window)
- Click to share on StumbleUpon (Opens in new window)
- Click to share on Tumblr (Opens in new window)
- Share on Facebook (Opens in new window)
1 Comment »
or go to
From the Archives
By Ariadna Theokopoulos | Uprooted Palestinians | May 24, 2012
There is a lot of talk about Israel as the State for Jews being bad for Jews worldwide, engendering increasing anti-Israel as well as anti-Jewish sentiment, but I submit that it is primarily bad for Jewish Power, the so-called Zionist Power Configuration (ZPC), insofar as it throws an unwelcome spotlight on it. There have always been subscribers to the Protocols but until relatively recently they have been easily dismissed if not ostracized as anti-Semitic conspiracy theorists, and Jews have managed to restrict the gentile book-keeping of influential Jews to counting the Jews on the Nobel Prize winners list.
Israel’s treatment of the Palestinians whose land they took over has been beyond despicable from the very beginnings of the state yet a well-organized hasbara has managed to inculcate into the minds of the Western Goyim the dichotomy: Palestinians/Arabs/Muslims = terrorists vs Israeli Jews = peace-loving, long-suffering victims. Not so anymore. Israel is no longer seen as even a “legitimate” state but a rogue nuclear power, a racist, expansionist war criminal and war monger. Of more concern, in attracting scrutiny of its successful flouting of international laws, it has led to an examination of what exactly allows it to act with complete impunity. It has exposed the lines of power that move the governments of the major world powers, like puppets on a string, to act as its enablers, indeed as its agents. The lines are now seen by more people than ever before to lead to the Jewish lobbies, to the ZPC, which does not reside in Israel, but permeates the power centers of the US and the UK, and not only. … continue
Aletho News Exclusive Content
This article will examine some of the connections between the US and UK National Security apparatus and the appearance of the anthropogenic global warming (AGW) theory beginning after the accident at Three Mile Island. … continue
Also by Aletho News:
September 19, 2011
March 8, 2011
January 2, 2011
October 10, 2010
July 5, 2010
February 25, 2010
February 7, 2010
January 5, 2010
December 26, 2009
December 19, 2009
December 4, 2009
May 9, 2009
- Stories from Al Arroub refugee camp March 28, 2015
- Ni’lin demonstrators met with senseless violence March 23, 2015
- Continuing harassment of activists in Palestine March 23, 2015
- Resistance to the destruction of olive trees in Wadi Qana March 22, 2015
- VIDEO: Children assaulted and 3 women arrested at Nabi Saleh demonstration March 22, 2015
- Latin America and the Anglo-American Booby-Left March 25, 2015
TagsAfghanistan Africa al-Akhbar Al-Manar American Civil Liberties Union American Israel Public Affairs Committee Argentina Bashar al-Assad Benjamin Netanyahu Brazil Britain Canada Central Intelligence Agency China CIA Colombia East Jerusalem Egypt EU European Union FBI Federal Bureau of Investigation France Gaza Germany Hamas Hebron Hezbollah Honduras Hugo Chávez Human rights India Intelligence International Atomic Energy Agency International Solidarity Movement Internet Iran Iraq Iraq War Israel Israeli settlement Japan Jerusalem John Kerry Latin America Lebanon Libya Middle East Military National Security Agency NATO New York Times NSA Obama Pakistan Palestine Palestinian prisoners in Israel Police Press TV Russia Sanctions against Iran Saudi Arabia South America Syria Turkey UK Ukraine United Nations United States USA Venezuela Washington Post West Bank Yemen Zionism
Visits Since December 2009
- 2,087,349 hits
Contact:atheonews (at) gmail.com
Recent Aletho News Posts
- What the Public Now Deserves to Know About the Mass Murder Incident by Passenger Jet March 28, 2015
- Child Rapes and “Sex Parties” by US Forces are Latest to Tarnish Plan Colombia’s Image March 28, 2015
- Spanish Congress Approves Draconian Laws Essentially Sending Spain Back to the Dark Ages March 28, 2015
- Youth shot by Israel for waving flag and flashing V sign March 28, 2015
- Israeli forces briefly hold, threaten Ramallah governor March 28, 2015
- Israeli forces conduct military training in Palestinian town March 28, 2015
- Manipulating security narratives and the two-state paradigm March 28, 2015
- America’s Anti-ISIS Gambit Falling Apart March 28, 2015
- UN staff, diplomats evacuated from Yemen as 24 killed in airstrikes March 28, 2015
- US has to climb down on sanctions to reach Iran deal: Gareth Porter March 28, 2015
- Body Count Report Reveals At Least 1.3 Million Lives Lost to US-Led War on Terror March 27, 2015
- For Once, Don’t Blame the Israelis March 27, 2015
- US making ‘no practical steps’ to ratify Nuclear Test Ban Treaty – Russia March 27, 2015
- Cancer and Infant Mortality at Three Mile Island March 27, 2015
- Why Using Pension Money to Fund Israeli Bonds is Both Wrong and Illegal March 27, 2015
- Court dismisses Kirchner ‘cover-up’ charges March 27, 2015
- Colombian Report on US Military’s Child Rapes Not Newsworthy to US News Outlets March 27, 2015
- Hamas rejects Amnesty report on war crimes March 27, 2015
Looking for something?
Categories"Hope and Change" Aletho News Civil Liberties Corruption Deception Economics Environmentalism Ethnic Cleansing, Racism, Zionism False Flag Terrorism Full Spectrum Dominance Illegal Occupation Islamophobia Mainstream Media, Warmongering Malthusian Ideology, Phony Scarcity Militarism Nuclear Power Science and Pseudo-Science Solidarity and Activism Subjugation - Torture Supremacism, Social Darwinism Timeless or most popular Video War Crimes Wars for Israel
This site is provided as a research and reference tool. Although we make every reasonable effort to ensure that the information and data provided at this site are useful, accurate, and current, we cannot guarantee that the information and data provided here will be error-free. By using this site, you assume all responsibility for and risk arising from your use of and reliance upon the contents of this site.
This site and the information available through it do not, and are not intended to constitute legal advice. Should you require legal advice, you should consult your own attorney.
Nothing within this site or linked to by this site constitutes investment advice or medical advice.
Materials accessible from or added to this site by third parties, such as comments posted, are strictly the responsibility of the third party who added such materials or made them accessible and we neither endorse nor undertake to control, monitor, edit or assume responsibility for any such third-party material.
The posting of stories, commentaries, reports, documents and links (embedded or otherwise) on this site does not in any way, shape or form, implied or otherwise, necessarily express or suggest endorsement or support of any of such posted material or parts therein.
The word "alleged" is deemed to occur before the word "fraud." Since the rule of law still applies. To peasants, at least.
This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. For more info go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.
This is information for anyone that wishes to challenge our “fair use” of copyrighted material.
If you are a legal copyright holder or a designated agent for such and you believe that content residing on or accessible through our website infringes a copyright and falls outside the boundaries of “Fair Use”, please send a notice of infringement by contacting email@example.com.
We will respond and take necessary action immediately.
If notice is given of an alleged copyright violation we will act expeditiously to remove or disable access to the material(s) in question.
All 3rd party material posted on this website is copyright the respective owners / authors. Aletho News makes no claim of copyright on such material.