SS 2

Last night, I sent the e-mail below to Kevin Drum, Matt Yglesias, Atrios, and Max. I got a response from Kevin. It was more than I expected -- but less than I had hoped. Here are my original question, Kevin's reponse and my follow-up question, which he has not answered (yet?):

From Bill:

I really am trying to figure this SS thing out, but I am getting tired of all the abstract discussion. Does anyone want to take a shot at telling me why I should hate the NPCA reform proposal? (This was being shilled by Pete Du Pont in an op-ed piece on the WSJ "Opinion Journal" today). I pick that one only because it is the first concrete proposal -- with numbers and everything -- I have come across. Any other one would do so long as it is specific and published.

From Kevin:

NCPA tends to be more honest than most groups. A quick glance at this one indicates that they're proposing additional funds (workers and employers both have to contribute an extra 1.25% above and beyond what they contribute now). At least, that's what it looks like. If that's the case, it probably works fine, although I haven't looked at the math in detail.

Of course, if we raised taxes by a total of 2.5% right now, Social Security would be fine with no changes. If you assume additional revenue, lots of plans look good.

From Bill:

Thanks. Now, here's my real question. The plan is for a phase-out of the pay as you go system. If all that takes is moving the payroll tax up another 2.5% -- which I suspect will happen anyway eventually -- why not do it?

My sense is that "privatization" is a good idea and all we really ought be debating is how to get there. Bush wants to do it with more borrowing (I guess). I think that's a terrible idea -- especially given where we are today. But where I want to fight is on means, not ends.

Not much, admittedly, but to my mind, encouraging nonethless. Maybe it is not privatization per se that the Left (to the extent Keven may be considered representative of the Left) is against. Maybe it is just the way Bush proposes to get there. I'd love it if we could talk about that instead of the red herring (for both sides) of whether there is a "crisis" is SS.