Rick Perry and Rick Santelli are right and Tom Friedman is wrong: Social Security is a Ponzi Scheme - or pyramid

PERRY IS GREAT:



SANTELLI IS THE GREATEST!:



WIKI DEFINITION:

A Ponzi scheme is a fraudulent investment operation that pays returns to separate investors, not from any actual profit earned by the organization, but from their own money or money paid by subsequent investors.

[...]

1. Since the scheme requires a continual stream of investments to fund higher returns, once investment slows down, the scheme will begin to collapse under its own weight as the promoter starts having problems paying the promised returns (the higher the returns, the greater the risk of the Ponzi scheme collapsing). Such liquidity crises often trigger panics, as more people start asking for their money, similar to a bank run.
2. External market forces, such as a sharp decline in the economy (e.g. Madoff and the market downturn of 2008), cause many investors to withdraw part or all of their funds; not necessarily due to loss of confidence in the investment, but simply due to underlying market fundamentals. In the case of Madoff, the fund could no longer appear normal after investors tried to withdraw $7 billion from the firm in late 2008 as part of the major worldwide market downturn affecting all investments.

THIS IS EXACTLY WHAT SOCIAL SECURITY DOES:

IT PAYS OUT TO CURRENT RECIPIENTS ONLY WHAT CURRENT AND FUTURE PAYEES PUT IN: IT GIVES TO THE CURRENT GENREATION OF RETIRES BY TAKING AWAY FROM THE CURRENT AND FUTURE TAXED WORKERS.

THAT'S A PYRAMID. A PONZI SCHEME.

THE ONLY REASON IT HAS STAYED AFLOAT UP TO NOW WAS BY INCREASING THE AMOUNT INPUT AND/OR BY LOWERING THE AMOUNT OUTPUT.

THAT'S A PYRAMID. A PONZI SCHEME.

A PERSONALIZED PENSION SYSTEM THAT WOULD REQUIRE PEOPLE AND THEIR EMPLOYERS TO INPUT 7% INTO A PERSONAL ACCOUNT WHICH CAN ONLY BUY T-BILLS AND OTHER GOVERNMENT BONDS WOULD BE BETTER FOR THE PENSIONER AND HIS FAMILY.

IT WOULD BE INHERITABLE - UNLIKE SS TRUST FUNDS WHICH ARE "INHERITED" BY THE GOVERNMENT BUREAUCRACY.

THE CURRENT SYSTEM IS THE BIGGEST SCREWING THE WORKING CLASS EVER GOT:

BECAUSE A WORKING MAN IS NEVER GONNA COLLECT ALL HE PUT IN AND THE INTEREST - AND BECAUSE HE CAN'T PASS IT ON TO HIS KIDS, IT ESSENTIALLY TRANSFERS MONEY FROM THE WORKING MAN TO THE GOVERNMENT.

THE RICH DON'T NEED IT, AND SINCE IT STOPS COLLECTING AT $106,000 IT ONLY SCREWS THE WORKING CLASS, THE MIDDLE CLASS.

SOCIAL SECURITY IS NOT A MIDDLE CLASS ENTITLEMENT; IT'S A GOVERNMENT ENTITLEMENT, AND IT'SS THE POLITICIANS WHO THINK THEY'RE ENTITLED TO KEEP IT!