Social Security – the Big Lie

Don’t believe the Republicans big lie about Social Security!

Social Security

deficit

If the Republicans cared about the deficit they’d do two things:

Cut defense by 50% instead of increasing it.

Eliminate tax breaks for the wealthy, both income and inheritance. (Oh, and bonuses and capital gains are INCOME so tax them accordingly.)

Are they doing that? NO. They are robbing from the poor to pay the rich.

Roll back the income tax on the rich to pre-Reagan levels. Inheritance tax too.

Pay back the money that was embezzled from Social Security by Reagan and the Republicans.

And don’t vote for any Republican every again. Ever. Remember that in 2012. 2014. 2016.

Here is more information from a commenter at Huffington Post.

You are absolutely correct! As an economist who has been researchin
g and writing about Social Security for more than a decade, it is so refreshing to know that someone can tell the truth and not have the comment censored. What we are dealing with is THE GREAT SOCIAL SECURITY THEFT. The surplus revenue generated by the 1983 payroll tax hike was supposed to be saved and invested to build up a large reserve in the trust fund with which to pay benefits to the baby boomers. The surplus money was supposed to be used to purchase pre-existi­ng marketable Treasury bonds in the open market. If this had been done, the surplus money would have ended up in the pockets of the private investors from whom the government purchased the pre-existi­ng bonds and the trust fund would have $2.6 trillion in “good-as-g­old” default-pr­oof marketable Treasury bonds which could be resold in the open market to raise money with which to pay benefits to the baby boomers. When the first surplus revenue showed up in 1985, the government made a conscious decision to put the money in the general fund and use it for general government operations instead of saving and investing it. That is when the theft began.

The revenue generated by the 1983 regressive payroll tax hike was used to replace the revenue lost as a result of the Reagan income tax cuts. The net effect was a transfer of income and wealth from low and middle-income taxpayers to the richest ten percent of taxpayers. Absolutely none of the revenue from the 1983 payroll tax hike went to Social Security. It all went into the general fund and was used to pay for tax cuts, wars, and other government programs. Since the missing Social Security money ended up in the pockets of the rich, I propose that a special tax be levied against this group of taxpayers with the revenue specifical­ly earmarked for repayment of the looted Social Security money


The government has violated both the public trust and federal law. The Budget Enforcement Act of 1990 included an amendment sponsored by Senator Ernest Hollings of SC. That law made it illegal for the government to continue spending Social Security money for other purposes. President George H.W. Bush signed the legislatio­n into law and then proceded to spend the money just like before.


Absolutely none of the money was “invested” in Treasury bonds or anything else. It was all spent, and once money is spent, there is nothing left to invest. What the government did is clearly illegal.
And we can’t use the term “borrowed” unless the money is repaid. If it is not repaid, it was clearly STOLEN.

Allen W. Smith, Ph.D.
Professor of Economics, Emeritus
Eastern Illinois University
Website: www.thebig­lie.net

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One Response to Social Security – the Big Lie

  1. Magnificent website. Lots of helpful information here.
    I’m sending it to some pals ans additionally sharing in delicious. And certainly, thanks on your sweat!

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