Over the next couple months, Congress will deliberate in budget negotiations related to budget sequestration and the expiration of the Bush tax cuts.
There is a growing group of corporate CEO’s and right-wing politicians who are demanding that discussions over these issues include cuts to Medicare and Social Security — programs that are not responsible for the sequestration and tax cut issues.
Appearing on the Ed Show last night, re-elected independent Senator Bernie Sanders (VT) explained why Social Security should not be a part of these negotiations:
SANDERS: We are in the midst of a horrendous Wall Street-caused recession. We are not going to cut Social Security, which by the way as Harry Reid just reminded us, has nothing to with the recession. We’re not going to cut Medicare, we’re not going to cut Medicaid.
Watch it:
Nancy Hasenpusch says:
Thank you Senator Sanders for always standing by,for and with the people. I wish that we had 500 more Senators and Reps just like you. We would not be in this disaster .Your dedication to the people is so special and important. You set the example of how a Congress person should act and work. Your tireless efforts to show America what the facts really are and how it matter for the 99%. Thank you so very much for your true service as a elected official. Not too many can stand in your shoes..
Chris says:
How misleading… Of course SS itself doesn’t add to the deficit. But, what happens is that SS takes in cash from people every week. It takes in more than it pays out, so it has to do something with that money (either hide it in a mattress, or dig a hole or something). So, the SS admin buys T-bills. Now, the general fund has the money and SS has a stack of promissory notes. The general fund spends the money (that is what the federal gov. does). So, there are a bunch of IOU’s against the general fund, and no money in the fund.
So, when the time comes, the SS admin will try to cash those IOU’s in for cash, so that they can pay people their benefits. The general fund will have to cough up cash for those IOU’s. Cash that has been spent, long ago. Now, anyone reading this, you can say that SS doesn’t add to the deficit. Does saying that give anyone a clear picture of what is really happening? Does the person saying that want you to have a clear picture of what is happening?
WillemPenn says:
Chris, good try at spin. No, SS does not directly add to the debt. Government loan repayment adds to the debt. What do you suggest? Should the federal government refuse to meet its obligation on that debt? Are continued tax breaks for people making over 1 million, continued spending on foreign wars, continued subidization of MNCs posting billions in profits while moving jobs and wealth overseas more important than repaying a loan to the folks on Main Street USA? Should I be allowed to tell AmEx, Visa or MasterCard, “I know I borrowed 25K from you by charging all of my unnecessary Black Friday purchase to your cards, but I’m kind of freaking about the debt now, so instead of cutting my wasteful spending on my fleet of private jets, I’m just not going to pay you back. Oh, and can you give me another low interest loan to pay for another private jet I don’t need?”