December 7, 2004

The New York Times > Opinion > Op-Ed Columnist: Inventing a Crisis

While Krugman makes some good points in the article, he's basically wrong in his fundamental outlook. Personal accounts make a lot of sense for the long term of Social Security. The basic benefits of personal accounts are twofold: better growth in the invested capital; true ownership of a personal account...witness the success of IRAs, Roths and 401(k)s.

I think Krugman and Dowd have a paranoia...note Krugman's comment (emphasis added).

For Social Security is a government program that works, a demonstration that a modest amount of taxing and spending can make people's lives better and more secure. And that's why the right wants to destroy it.

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