“If you’re for the status quo in America, I’m not your guy,” Perry told an overflow crowd eager to see the presidential candidate at The Vine Coffeehouse, where people repeatedly sang God Bless America – once to try to encourage Perry to come in from shaking hands with people outside.
Asked by a woman in the crowd about Social Security being viewed as an entitlement program, Perry reiterated the suggestion in his anti-Washington book, Fed Up!, that the program amounts to a Ponzi scheme.
“It is a Ponzi scheme for these young people. The idea that they’re working and paying into Social Security today, that the current program is going to be there for them, is a lie,” Perry said. “It is a monstrous lie on this generation, and we can’t do that to them.”
Social Security is currently in deficit, meaning it must now pay out more in benefits than it collects in payroll taxes, and given that the Social Security Trust Fund is nothing but US Treasury Bonds that deficit in the program adds to the national debt.
According to the Social Security program’s trustees the program will be in deficit for the foreseeable future, and the only fix being proposed is one that has people who spent a lifetime paying into the program getting even less out of it than they already do.
Which only firms up Perry’s contention that this is a ponzi scheme. Because that’s how those schemes work. You take from the bottom to pay up the pyramid, but when the pyramid becomes ungainly the payments to the top necessarily become lighter and lighter.
It is a monstrous lie. Younger Americans would be fools to count on Social Security paying out for them the way it has for past generations. Thank goodness Perry has the honesty to tell the truth.