Monday, October 14, 2013

Accelerating generational war

I've long argued that the inexorable rise of the entitlement state will leave today's young Americans kneecapped for the future.  Social Security, Medicare, and interest on the national debt comprise a growing share of mandatory government spending that is being paid by borrowing from future generations.  The trust funds will run dry in a little more than a decade.  Now throw Obamacare into the mix and "community rating" which basically mandates that young, healthy Americans subsidize older Americans at a much higher rate than in the past.

How much longer will this go on?  The L.A. Times says "Don't trust anyone over 60 - Mandatory health coverage could be the catalyst for a new generational war."
America's healthcare system for the elderly (Medicare, plus Medicaid for nursing-home care) is already edging the country toward generational war because Washington will sooner or later be forced to choose between drastic limitations on coverage in those programs or drastic increases in taxes on the decreasing portion of working Americans. Now we're adding a parallel obligation on younger workers to subsidize healthcare for fiftysomethings.
I really wish I could convince the kids that they're being led into a fiscal Punji stick trap but they all voted for Obama because "fairness" and "hope" and junk.  And if you're an American politicians looking to get elected, to whom will you make your appeal?  The grey army that votes in huge numbers or the youngsters holding down their 29-hour work week?  Keep the machine running until it all breaks down.

Extra - Laurence Kotlikoff: "Oh, and by the way, our government is totally broke."

1 comment:

Right again said...

Remember all those $716 billion Medicare scare claims and doomsday posts from 2012?

Yeah... good times.