[TropicCat]

Originally Posted by PBzeer

I had expected to see some mention of the AP story from last week about Social Security having to call in $29 billion of the Treasury's IOU's. In other words, they're taking in less than they're paying out.

RealClearPolitics - US News - Mar 14, 2010 - Social Security to start cashing Uncle Sam's IOUs

Sadly, it's true. I've written quite a bit about GDP numbers in this thread and how they are meaningless. You can make the GDP number whatever you want it to be.

In our reality if incomes are high so are taxes and SS contributions, and if incomes are low, so are tax collections. The Federal government and most of the States all have a budget crisis today because of this Great recession. Here in Florida where 70% of the state's budget depends on our sales tax, collections are off 24.6% from their high in 2006 leaving a huge deficit. SS is no different.

Despite gleeful government releases of huge GDP gains, the reality is that the recession is in fact deepening and as a result, contributions to Social Security are dropping. Despite John's implication, it's beyond the control of bureaucrats. It should be addressed by Congress immediately. As in all situations of this nature, you have to cut benefits or raise taxes to compensate for the recession.

If republicans were adults, they would do the people's business. They won't and instead will blame Obama. Of course that's laughable as he arrived in office with our economy crashing around his ears.

Republicans are fiddling while our country 'burns'. But hey, Fox ratings are up and Rush made another few million.