Another Problem With Entitlements Is That People Feel Entitled to Raises, Too
I’ve been meaning to comment on this casting of the non-increasing Social Security payments for a couple of weeks:
As if voters don’t have enough to be angry about this election year, the government is expected to announce this week that more than 58 million Social Security recipients will go through another year without an increase in their monthly benefits.
It would mark only the second year without an increase since automatic adjustments for inflation were adopted in 1975. The first year was this year.
Look, there’s a method by which the Social Security Administration calculates whether and by how much it is more expensive for recipients to live and adjust their payouts accordingly. Two years ago, that method yielded a higher-than-justified increase. Now, with a stagnant experienced economy no increase is justified.
The solution is to eliminate policies that increase costs (such as taxes) that don’t factor into the equation and that hamper the healthy growth of our economy. Demanding more money as a handout just because a raise is expected and might be wrestled out of the political system will prove counterproductive.