Just a thought...
- Date: Fri, 7 May 1999 17:20:12 -0400 (EDT)
- From: Jeremy Kidd <jeremy.kidd@mail.house.gov>
- Subject: Just a thought...
Just a thought for consideration. The idea popped into my head while
reading some of the comments about the microeconomic and macroeconomic
effects of privatization. There is a valid concern, voiced quite well
by Chairman Alan Greenspan, that private accounts, if established from
funds in the Trust Fund, would basically be trading the Government Bonds
currently held for equities, and therefore would be a zero sum game, in
the total retirement arena. That makes sense. However, if the contribution
for personal accounts came out before the employer mailed the check to
the federal government, assuming that such a system could be protected and
regulated for retirement, then it would be one dollar paying for one dollar's
worth of stock, and that particular problem would be taken care of.
Just thought that idea might provide for some debate.