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View Diary: Should Americans Forgive the $2.5 Trillion Borrowed From Social Security? (181 comments)

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  •  Progressives took the bait (3+ / 0-)
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    saluda, 84thProblem, DvCM

    The whole 'Phony IOU' 'Trust Fund has been LOOTED' meme was cooked up by the right as part of the Butler-Germanis 'Leninist Strategy' (a real thing-Google it) to undermine faith among younger workers in Social Security. Which has led to all too many progressives solemnly proclaiming that Reagan "stole" the money to pay for tax cuts. But nothing was stolen, not a single penny ever sent to the Trust Funds has been treated in anyway not mandated by the Social Security Amendments of 1939. Not by Reagan or Bush II for tax cuts, not even by LBJ for Vietnam (another version).

    It never happened. Unless we let ourselves believe it already happened and open the barn door and let the horse thieves in ourself. Which is the plan.

    Don't buy into Phony IOU on any level or in any narrative form. Especially those which pose Reagan in the role of horse thief. Cuz he didn't steal nothing. Not that he didn't TRY. As did Bush II. They just got caught, stymied by the locked door that current law affords the Trust Fund. It works and will continue to work. If we don't get hornswoggled.

    bruceweb.blogspot.com

    by Bruce Webb on Mon Dec 03, 2012 at 10:24:34 AM PST

    [ Parent ]

    •  Of course nothing was stolen and the (2+ / 0-)
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      84thProblem, DvCM

      Government Account Series bond issues are solid.  Maybe I didn't emphasize it strongly enough but anyone who implies that redemption of the securities depends on anythng other than the full faith and credit of the United States of American is full of crap.  

      People say all sorts of nonsense.  In one ear, out the other.  I didn't mention Reagan anywhere in the piece and I'm not very familiar with SSTF activity that occurred in the early 80s.  I believe its solvency was enhanced or restored but the details are hazy.  Problems I have with Reagan are outside the scope of this diary.

      "Those who deny freedom to others, deserve it not for themselves." - Abraham Lincoln

      by leftreborn on Mon Dec 03, 2012 at 11:38:38 AM PST

      [ Parent ]

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