We have numbers from the government saying this system is running out of money and there’s little confidence this system will remain solvent. As a small business owner, I demand to see this system reformed and know it’s sustainable before I continue paying money into this scheme. We should all petition the Congress, Treasury and White House and demand this be addressed and stop paying into this until they answer us!

By the time period we’re discussing (1980 and forward), urbanization in the US, while not as advanced as Europe, was well-established.

So we ignore population density, natural resources, population growth, demographic factors, monetary factors and initial conditions. That’s quite informative. Regarding your standards for evidence, of course.

Most of the economic growth has been associated with technology and finance, two thing where the intellectual requirements for success are higher than what someone inhabiting most of the IQ bell curve is capable of. One can debate the merits of those intellectual efforts to-date, but one cannot debate that the people in the room are all very close to the top in terms of objective intelligence measures. In a competition where the minimum IQ necessary to succeed is 150+, people of “average” IQs around 100 simply aren’t going to win very often. Add into that globalization of labor markets and my only advice to people is “get smarter”. The old world isn’t coming back.

Oh, I’d be happy to debate you regarding the relative intelligence of our technology and finance ‘experts’. Perhaps a primer on the dot-com bubble? Or the current real-estate and finance collapse? Maybe we should review the S&L scandal? Take your pick. The minimum IQ necessary to succeed is nowhere near 150 points – and when you say the “old world” isn’t coming back, you should know that the statement means absolutely nothing here.

What drives re-investment is the availability of reinvestment opportunities. If a company has a cost of capital of 10% and the only reinvestment opportunities available return 9%, the company should distribute those earnings as a dividend to shareholders. Not doing so would weaken the company. I take it by your position on this you are not a CFO by profession?

I take it by your nonsensical reply that you are not familiar with the english language. Re-investment opportunities are subject to incentives. Tax policy is one such incentive. As a sole proprietor, it would make no sense to raise my personal income if I could reduce my taxation by allowing my capital to continue working as part of my business. This is not difficult to understand, but if you are having trouble, please go ahead and speak to your CFO.

Peace.

DS

Actually, I am a confirmed capitalist and do believe those who earn it should be entitled to keep it. I am aware of the fact that I never had a choice when it comes to SS. None of us had the option to opt out unless you worked for the railroad and come under their pension plan like my in-laws.

Well, anyway, after all is said and done, we do share some of the same philosophy. I paid it in and I want it back when I need it. If all goes as I hope it will, I will remain gainfully employed and continue to contribute until I have to retire. My wife and I are finally able to start serious saving after finally paying off all of our past debts and obligations.

My final point is this. Not everyone is fortunate enough to be able to put away money from each paycheck. I know too many who have had to pay out every penny they earned for basic living expenses after a tragic illness or some other misfortune they had no control over. These are the people who should not be punished or held liable for the shortcomings of the government and the jackasses we keep sending to Washington.

If Obama succeeds in his efforts to retool America into a socialist state, all our our complaining and objections will be of no use anyway. We can state facts, figures, statistics, and logic until hell freezes over and it won’t make one iota of difference. We have a segment of our society who do think it is the governments responsibility to support them even if they keep plopping babies out one after another with no father in the home earning a living. And this is not a racial thing either. The percentage of caucasians having babies without fathers is catching up with the African Americans and fast.

This is where the money that was supposed to be for SS is going, not into the pockets of those who worked and contributed all their lives. If you want to get pissed off at anyone, check out just where most of the money is going. And now we have our hispanic brethern getting in line for theirs as well and our government is very obliging in putting as many as they can on the SS dole.

So, when the day comes when I will need my SS check to help out, I want all of what I paid in. If the government would be so kind as to send me a check for my contributions over the years, I could take it and live very well along with my income from my part time consulting business and full time position with my present employer. I just don’t want it going to those who never contributed or earned it. On that, we agree.

In our midwestern small town with its SS office, 98% of the people going in and out are very obviously lifelong farmers and working people who have been paying in for 45 years or more.

If the payments to illegal immigrants were stopped, I would think that would improve the balance sheet immediately. But I suppose it’s wicked of me to think that.