Thursday, February 4, 2010

The Republican Plan: Cut Social Security, Cut Medicare, Balance Budget in 2060

To my knowledge, Frank LoBiondo has not put out his own plan to deal with the long-term deficit, so we'll have to assume he probably supports more or less the new House Republican plan, though it's not officially endorsed, and some Republicans realize it is a political loser as it privatizes Social Security and Medicare. An analysis of the plan is very revealing:

In all the Ryan budget plan dubbed the "Roadmap for America's Future" would take the deficit from 11 percent of gross domestic product in 2009 to 4.8 percent in 2030 and 2.6 percent in 2050. The Congressional Budget Office shows the GOP plan would end the deficit around 2060 and they would produce a surplus of 6 percent of gross domestic product by 2083.

Well, I certainly hope to live to see 2060, though statistics say I probably won't, but why I or anyone would want to lose Social Security and Medicare benefits and still run a huge deficit is beyond me. Privatizing Social Security is doubly foolish after the recent crash, we already have plenty of exposure to the stock market and real estate.

Also, for those Republicans complaining about the Democrats' proposed taxes on "Cadillac" health insurance plans, we have this: The Ryan plan "also eliminates income and payroll tax exclusions for employment-based health insurance starting next year."