Republicans have been talking for years about “reforming” Social Security. Usually this involves privatizing it in some way, which they insist that people will love. In fact, they’ll love it so much that, um, Republicans don’t dare suggest that their reforms should apply to current recipients. Or to people who are within even a decade of retiring. Why exempt these folks? There’s a lot of blah blah blah when you ask, but the real reason is that these people vote, and they actually pay attention to Social Security. They know perfectly well that the current system is a better deal for them. It’s only younger workers, who don’t pay as much attention and have been brainwashed—by conservatives—into believing that Social Security will never pay them a dime anyway, who give this nonsense the time of day. Even if the GOP’s reformed version of Social Security is a lousy deal, anything is better than nothing. Right?
But I’ve never really heard this argument about Medicare. Until now. Here’s Jeb Bush:
A lot of people recognize that we need to make sure we fulfill the commitment to people that have already received the benefits, that are receiving the benefits. But that we need to figure out a way to phase out this program for others and move to a new system that allows them to have something—because they’re not going to have anything.
Boom! If we don’t gut Medicare, they’ll have nothing. When they turn 65 they’ll be out on the street dying, with no one to help them. Why? Because Democrats let the system go bankrupt. Wouldn’t it be much better to offer them some crappy, rationed system instead? At least it’s something, after all.
Jesus. You’d think we were Greece. Oh wait—these guys do think that Democrats are turning us into Greece. So I guess it makes a kind of sense.
In any case, Jeb sure picked the wrong time to make this pitch. Just yesterday we got the latest projections for Social Security and Medicare. If they’re correct, the cost of both programs will top out at a combined 12 percent of GDP by the middle of the century and then flatten out. That’s about 3 percent of GDP more than we’re spending now.
So this is what Jeb is saying: Right now the federal government spends about 20 percent of GDP. We can’t afford to increase that to 23 percent of GDP over the next 30 years. That would—what? I don’t even know what the story is here. Turn us into Greece? Require us to tax millionaires so highly they all give up and go Galt? Deprive Wall Street of lots of pension income they can use to blow up the world again?
Beats me. This whole thing is ridiculous. Over the next 30 years, we need to increase spending by 1 percent of GDP per decade. That’s it. That will keep Social Security and Medicare in good shape. Why is it so hard for people to get that?