Pyramid scams collapse when they run out of enough new “investors” to pay earlier promises. Some use this fact to deny that Social Security is really a massive redistribution scheme, since it has lasted over 70 years. That assertion misses two substantial differences between Social Security and other Ponzi schemes however: Social Security involves far longer generations, with people collecting on current promises far into the future; and it has been not one, but a series of Ponzi schemes.
Since Social Security began, each of the many times it has been expanded, those in or near retirement got benefits far exceeding their costs. Those already retired paid no added taxes, and those near retirement paid more for only a few years. FULL ARTICLEThe Government Runs the Ultimate Racket
Pyramid scams collapse when they run out of enough new “investors” to pay earlier promises. Some use this fact to deny that Social Security is really a massive redistribution scheme, since it has lasted over 70 years. That assertion misses two substantial differences between Social Security and other Ponzi schemes however: Social Security involves far longer generations, with people collecting on current promises far into the future; and it has been not one, but a series of Ponzi schemes.
Since Social Security began, each of the many times it has been expanded, those in or near retirement got benefits far exceeding their costs. Those already retired paid no added taxes, and those near retirement paid more for only a few years. FULL ARTICLEAll Rights Reserved ©
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