The depletion of the OASI Trust Fund; Not the first time

Discussion in 'Current Events' started by nopartisanbull, Dec 1, 2019.

  1. nopartisanbull

    nopartisanbull Well-Known Member

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    Well, the depletion of the OASI Trust Fund has begun, however, historically, not the first time, for example;

    Actual Trust Fund depletion from 1975 to 1983

    1975....$36.9 billion
    1976....$35.3 billion
    1977....$32.4 billion
    1978....$27.5 billion
    1979....$24.6 billion
    1980....$22.8 billion
    1981....$21.4 billion...…. President Ronald Reagan and Congressional leaders in both parties appointed the National Commission on Social Security

    1982....$22.0 billion
    1983....$19.6 billion...….Social Security Reform Act of 1983

    1984....$27.1 billion
    https://www.ssa.gov/OACT/STATS/table4a1.html

    …..and back then, SSA's low cost projections were way out of whack
    https://www.ssa.gov/OACT/tr/historical/1978TR.pdf

    For anyone's info, today, DEPLETION means shifting Trust Fund's securities to Public Debt securities, and although the process of SHIFTING does not increase the debt, Uncle Sam's "Net interest payments", (a mandatory government expenditure), WILL INCREASE!
     
  2. nopartisanbull

    nopartisanbull Well-Known Member

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    Social Security Reform Act of 1983

    It is hard to imagine how a similar "bipartisan" package could emerge from today's extreme political polarization.

    We may have to wait until OASI becomes an "urgent problem", thus, at least several more years.
     
  3. nopartisanbull

    nopartisanbull Well-Known Member

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    Also, IMO, shifting Trust Fund's securities to Public Debt securities bear the resemblance to a pyramid scheme.

    Who's on top/bottom of said pyramid scheme?

    Well, I'm certainly at the bottom due to the fact SHIFTING will increase Uncle Sam's net interest payments, (a mandatory government expenditure), and the ones who have a net federal tax liability pays the bills.

    Who's on top? The ones who have contributed during a period when interest payments to the OASI Trust Fund were IOU'ed/increased the trust Fund's reserves.
     

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