Real Kato Blog: Second Thoughts On The Social Security Scheme

There is widespread skepticism about Bush's Social Security plans, and for good reason.

(Followup to an earlier article.)

Faced with growing dissent in Congress over his Social Security "reform" plan, Bush's response is basically this: "If you've got a better idea, let's hear it."

Of course, Bush hasn't actually given us the details of his own idea yet, particularly in the area of "how do we pay for it."

By now, everyone has seemed to realize that partial privatization of Social Security is (a) risky, particularly for low-income workers who are the most vulnerable; (b) terribly expensive, even by Cheney's own admission; and (c) all in all, politically dangerous. Even Republicans, like House Speaker J. Dennis Hastert, are worried about the ramifications of backing this plan.

Back in December, Bush said, "We will not raise payroll taxes to solve this problem." White House spokesman Scott McClellan said, "If you're talking about raising payroll taxes, that is a payroll tax increase. The president would not be for that." But now, Bush is saying that he would not bar raising the $90,000 cap on income subject to payroll taxes, and that WOULD be a payroll tax increase. If we were still in the midst of an election, this would be known as a FLIP-FLOP.

Flip-flop. Flip-flop. Where are all the Republicans now, with their flip-flops on a stick and their pictures of Flipper and all that?

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