Thursday, November 06, 2008
Halloween's Over, But The Scares Keep Coming
Are Our 401k's Going to Be Nationalized?
Nothing like reading about next session's Congress to create a reverse Chris Matthews effect (a chill running down your leg).
Thursday morning's Wall Street Journal reviewed the likely Congressional leaders during Pres. Elect Obama's first two years. The following passage was particularly haunting:
"...Argentina must protect our retirees." You see how it's like Halloween: the politicians dress up like knights in white shining armor, knock on your, and say trick or treat, where the "trick" is the threat of losing your retirement and the "treat" is your current retirement savings. Then, like the normal trick-or-treater, once they have your treat they saunter off, not to be seen again until next year.
The government taking ownership of citizens retirement money sure is an odd method of protection. It's more likely a ghoulish masquerade to help prop up government revenue, that has recently fallen short because of an economic slowdown. Can you think of any other governments who are facing their own fiscal scares that are likely to come trick or treating at your retirement account door?
Nothing like reading about next session's Congress to create a reverse Chris Matthews effect (a chill running down your leg).
Thursday morning's Wall Street Journal reviewed the likely Congressional leaders during Pres. Elect Obama's first two years. The following passage was particularly haunting:
Some Democrats are starting to target the tax subsidies for 401(k)s and other private retirement options. [George] Miller, who heads the House Education and Labor Committee, calls them "a big failure" and recently held a hearing to ponder alternatives, including nationalizing pensions and replacing them with special bonds administered by Social Security."Nationalizing" is a frightfully antiseptic way of saying "the government seizing and promising to give you something else later on". Unfortunately, other countries are pondering nationalizing pensions. President Christina Fernandez de Kirchner of Argentina recently proposed nationalizing the nation's private retirement account system. Said Pres. de Kirchner "While the U.S. and other countries are stepping in to rescue their banks, Argentina must protect our retirees."
"...Argentina must protect our retirees." You see how it's like Halloween: the politicians dress up like knights in white shining armor, knock on your, and say trick or treat, where the "trick" is the threat of losing your retirement and the "treat" is your current retirement savings. Then, like the normal trick-or-treater, once they have your treat they saunter off, not to be seen again until next year.
The government taking ownership of citizens retirement money sure is an odd method of protection. It's more likely a ghoulish masquerade to help prop up government revenue, that has recently fallen short because of an economic slowdown. Can you think of any other governments who are facing their own fiscal scares that are likely to come trick or treating at your retirement account door?
