Subject: Re: [LPNY DISCUSS] Liberty: -- Talking Point -- Bush's tax increase
Date: Sat, 30 Aug 2003 11:53:09 -0400
To:        <lpny_discuss@yahoogroups.com>
From:     Bob Armstrong <bob@cosy.com>
On Sat, 30 Aug 2003 06:19:43 EDT, crestonave@aol.com wrote:
>=A0Speaking of taxes and spending and debt, let's consider the=
 Social Security
>=A0"black hole". This debt is on the books, but to whom do we=
 actually owe this
>=A0money? Soc Sec has become a "pay as you go" system - current=
 receipts are used
>=A0to pay current receipients. This beign the case, why do we=
 bother to accrue the
>=A0debt and how meaningful is it, really?

 It is , of course , like all State debt , secured by the future
 taxing power of the State . When those bonds issued to other
 agencies of the State , and the accrued interest booked on
 them , become due and needed , the only source of funds to
 repay them , ie , provide cash back to SS , will be additional
 taxes .

 The expected date for that reversal of flows is in about a
 dozen years .

--=A0
=A0Bob Armstrong -- http://CoSy.com -- 212-285-1864
Liberty : http://cosy.com/Liberty.htm