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ACTION: Write to the Strib - respond to Gutknecht's lie-filled SS article!

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Dickie Flatt Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Feb-20-05 03:29 PM
Original message
ACTION: Write to the Strib - respond to Gutknecht's lie-filled SS article!
Edited on Sun Feb-20-05 03:51 PM by Dickie Flatt
You can access the Strib's letter submission form on this page (click the "form" link at the end of the first paragraph.) Try to keep letters under 250 words. Please post your letter, or at least its subject, in this thread; we should cover as many subjects as possible, so try to write a letter on a topic that has yet to be addressed.

Gutknecht's commentary can be seen here.

Here are the key points we should cover. Use these as starting points, not as actual letters.

  1. It seems that Gil Gutknecht has taken after President Bush, whose claims regarding Social Security were described as "over-the-top" and " quite true" by... Gil Gutknecht!
  2. Gutknecht points to Galveston County's privatization experiment as an example of how privatizing Social Security can work. Here's what Gutknecht didn't tell you: the Galveston County system doesn't work. In 1999, both the Social Security Administration and the General Accounting Office found that many low- and medium-income workers -- those who need Social Security the most -- fare worse under the Galveston plan than they would have under Social Security. Read more about the Galveston plan here.
  3. Gutknecht implies that Bill Clinton supports, or proposed a plan similar to, the Bush plan. In fact, Clinton never proposed privatizing Social Security in the manner Bush has. Clinton had two plans: first, invest a portion of the trust fund into the stock market; second, create retirement savings accounts for all citizens. These are not the same as the Bush plans and it is dishonest of Gutknecht to imply that the are. Read more about the Clinton plan here. Media Matters also has information on this right-wing deception.
  4. Gutknecht dishonestly uses a quote from Harry Reid to imply that Reid supported privatization. This is not the case. Reid was discussing the Clinton plan described above, not a plan to privatize Social Security. The fact that Gutknecht felt it necessary to dishonestly use a quote from Harry Reid to support his position shows how unpopular it really is. More information from Media Matters.
  5. Gutknecht attempts to scare the people of Minnesota by stating that in "2018 payroll taxes will not be adequate to pay expected benefit levels." However, this is not the first time payouts will exceed revenue. In 14 of the past 47 years, including 1975 to 1983, this has been the case.
  6. Gutknecht suggests that Bush's privatization plan would be a minor course correction for Social Security. In fact, the Bush privatization plan would be a major overhaul of the Social Security system, not a minor course correction as Gutknecht claims.
  7. Gutknecht implies that Democrats support the Bush privatization plan. Actually, some Democrats support adding private accounts on top of Social Security. Republicans, on the other hand, support privatization. These plans are NOT the same and it is dishonest to claim that they are.
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Dickie Flatt Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Feb-20-05 03:34 PM
Response to Original message
1. To start things off...
Edited on Sun Feb-20-05 03:50 PM by Dickie Flatt
I wrote a letter about Gutknecht "over-the-top" and " quite true" quotes.
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whistle Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Feb-20-05 03:41 PM
Response to Original message
2. Privatization = social annuity
...annuities are insurance plans which have zero and negative rates of return historically. Private insurance companies which offer and manage such plans count of winning by profits of 20% and higher, fees which ensure a minimal rate of return, people living beyond the life of the policies and guaranteed paybacks are are ALWAYS lower then the expected discounted rate of returns used for calculating long term net present values. Jesus, every Harvard and Wharton B-School graduate for the last 60 years has known this to be true. Only the extremely naive and suckers buy into such investment programs for the future!
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