Chart of the Week: How Social Security Is Contributing to the Spending Crisis
Posted By Rob Bluey On September 11, 2011 @ 11:55 am In Entitlements, Taxes & Spending,Featured,Scribe | 46 Comments
[1]
Last week’s presidential debate at the Reagan Library elevated Social Security as a national issue [2] that could reshape the 2012 campaign. Candidates spent the week trading blows [3] about the role of the 76-year-old social insurance program.
Leaving aside the political rhetoric, one thing is certain: Social Security needs to be reformed or America will face a dismal future. As one of the three major entitlement programs — along with Medicare and Medicaid — Social Security is contributing to a very dire long-term budget outlook. Spending on the three entitlement programs could consume one-half of the economy by 2056 [4].
Heritage released a plan earlier this year to cut spending and save the program. “Saving the American Dream [5]” outlines steps lawmakers could take now, such as raising the retirement age and creating a flat benefit for Millenials, which would return the program to its original purpose of providing true insurance to those who need it most.
Update: The chart above has been updated to reflect the newest numbers available
Article printed from The Foundry: Conservative Policy News Blog from The Heritage Foundation: http://blog.heritage.org
URL to article: http://blog.heritage.org/2011/09/11/chart-of-the-week-how-social-security-is-contributing-to-the-spending-crisis/
URLs in this post:
[1] Image: http://www.heritage.org/budgetchartbook/entitlements-historical-tax-levels
[2] elevated Social Security as a national issue: http://blog.heritage.org/2011/09/08/presidential-race-puts-social-security-reform-back-on-national-agenda/
[3] trading blows: http://www.cbsnews.com/8301-503544_162-20103694-503544.html
[4] Spending on the three entitlement programs could consume one-half of the economy by 2056: http://www.heritage.org/budgetchartbook/entitlements-consume-economy
[5] Saving the American Dream: http://savingthedream.org/
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