Peter G. Peterson, one the wealthiest men in the World, likes to stereotype and blame people born in the U.S. between 1946 and 1964 (the Baby Boomers) for America’s financial woes, i.e., budget deficit.  He is so dedicated to punishing these people that he has spent millions and millions of his massive fortune to promote the idea that reducing benefits paid for by the Baby Boomers through a payroll tax is the way to balance the Federal Budget.

Peter G. Peterson – Hedge Fund Mogul & Crusader against Baby Boomers

Here are just a couple of examples of his attitude toward the generation that will soon be entering retirement (from his propagandistic book, Running on Empty):

Page 57:  “When the nursing-home crowd outnumbers the dorm room crowd by nearly four to one, America’s youth tradition may be little more than a memory.”

Let’s look at promotion of intergeneration conflict:

Page 227:  “To today’s young Americans, I say, You have a right to be angry abut the financial encumbrance your elders have collectively placed upon you.”

Page 230 – 231:  “Maybe now you wish your parents hadn’t been so indulgent.  Maybe you feel that when it comes your time to have children, you will spend far more effort on working to build a society that doesn’t rob their future, and less effort on scripting your children’s playtime for “maximum enrichment.”  And in this, your priorities may well be right.”

In the two posts below, I attempt to provide a couple of brief statements that address the Social Security Trust Fund and the “facts” that expose these types of statements as pure propaganda.

Here is the kind of truth that voters will learn about Social Security if the Obama Administration and the Democrats in Congress go along with the Peter G. Peterson led capitalist-elite-assault on Social Security benefits:

In the early 1980s, Social Security was in a position to pay out more than it was taking in.  By law, that cannot happen (it is a “pay-go” system).  A commission led by Alan Greenspan recommended an increase in the Social Security dedicated payroll tax (now at 6.2% for employees) as well as benefit reductions.  In 1983, these recommendations were legislated into existence by Congress.

The payroll tax increase and benefit reductions have resulted in a huge surplus – SS can take in more than it pays out.  Today, the Social Security Trust Fund has amassed a $3 trillion surplus, which makes this “pay-go” system, as it is now operating, solvent into the foreseeable future.

The problem is this:

The power-elite doesn’t want to pay its fair share of taxes.  As a result, for the past three decades, Congress has been cutting taxes for the capitalist ruling class while borrowing the SS surplus created by a payroll tax increase on us working stiffs.  At $108,000 in today’s dollars, the tax is no longer deducted.  Hence, those corporate executives, football coaches, etc., who are paid millions, only pay the 6.2% on payroll up to $108,000.  Most of us never make it and pay the full freight.

This regressive tax was intended for our retirement at the benefit level promised.  We have paid into the fund for three decades with that understanding.  Now we are hearing that the surplus created by our hard work and sweat was borrowed to fund tax cuts for the rich, war, bank bailouts, and other subsidies for the upper classes.  Actually, the Social Security Trust Fund loaned the surplus to the Federal Government in the form of bonds on which interest is owed.  Now the wealthy class doesn’t want the government to pay it back!  These deadbeats want to avoid the necessity of any tax increases on them and intend to manipulate the Congress and Obama administration into defaulting on the debt owed to retirees.

For several months now, the Tallgrass Activist has been warning readers about the deficit reduction commission created by President Obama through an executive order.  From the get go, it has been my belief that this is a set up for reducing Social Security and Medicare benefits.  Having attended the Peter G. Peterson Foundation sponsored America Speaks phony baloney town hall meeting in Overland Park on Saturday, I am firmly convinced that the power-elite is pulling the strings on this whole process and have already convinced a wide swath of policymakers and the American public that it makes sense to make a host of cuts such as pushing the SS retirement age to at least age 69 and even further as later generations come into the system.

All organizations fighting for social justice in this country need to come together and fight recommendations certain to be put forward in a sham process led by such resident experts/lackeys as Alice Rivlin, OMB director in the Clinton Administration (she was front and center at the America Speaks town halls on Saturday).  During appearances at the town halls by a plethora of conservative Republican and Democratic politicians such as Senators Gregg Judd and Kent Conrad and the extremist right-wing Congressman Paul Ryan, it was made very clear that the town halls were part and parcel of the official deficit reduction commission. HARD TO BELIEVE, BUT IT IS TRUE!

Everyone already knows that Republicans would kill SS and Medicare – consider some of the crazies running on the Republican ticket these days such as the nutty woman running against Harry Reid in Nevada.  However, when the masses become more tuned into the true condition of the SS Trust Fund – and they will – the political fallout will be especially severe for Democrats who show a willingness to go along with deficit hawk commissions.

Immediately upon returning from my vacation, I rushed over to the Johnson County Library in Overland Park to see what I could do to protest billionaire hedge fund mogul Peter G. Peterson’s sham town hall meetings, which were set up in twenty cities yesterday for the purpose of undermining Social Security and Medicare benefits.  It was pleasing to see contingents from the Older Women’s League and MoveOn.org carrying on a great protest in front of the library where “delegates” with passes to the event entered the meeting.  THANK THE OLDER WOMEN’S LEAGUE AND MOVEON.ORG FOR BEING ON THE CASE!  THESE GROUPS DESERVE OUR SUPPORT!

Sharon Lockhart (with OWL) helped me find a pass for entering the event (only selected applicants were allowed in the meeting and one of the protesters let me have his pass).  This meeting could only be tolerated by the most wonkiest of wonks.  It was hours of working through the U.S. budget and coming up with ways of reducing the Federal deficit by 1.3 trillion dollars.  Of course, the program was set up to lead participants in the direction of whacking Social Security benefits.  It was a very cleverly and deviously designed affair.  In fact, it is scary to see what these people can do with unlimited resources for fancy PR and manipulation of the masses.

All twenty cities were connected by video.  Leaders of the affair were in Philadelphia.  They provided a lot of very slick hoopla, which gave the whole thing a sort of festive atmosphere.  Every now and then they would pop up with some blathering from politicians like senators Kent Conrad of North Dakota and Gregg Judd of New Hampshire, both of whom told us that it was our responsibility to find ways reduce the budget deficit.  I found that rather interesting.  Both of these guys voted for the senseless war in Iraq, deregulation of the financial industry, Bush Tax Cuts, and the Medicare Part D give away to the Pharmaceutical Industry – all of which is responsible for our current budget deficit. 

This is serious stuff.  As does President Obama, Conrad and Judd have a commission working on the budget deficit.  It was made very clear that these sham town halls are working in conjunction with these commissions.  Alice Rivlin, OMB director in the Clinton Administration, is acting as their expert/lackey in residence.  The House and Senate will use these commissions as cover for doing to the elderly poor what they did to poor families during the Clinton Administration.

I WILL BE BLOGGING ABOUT THESE SHAM TOWN HALLS AND DEFICIT REDUCTION COMMISSIONS IN THE DAYS AHEAD.

Chrysler Corporation is doing its part for oil drilling in the Gulf of Mexico.  The company has announced that the all new Jeep Cherokee will now get 23 miles per gallon.  Isn’t that great!  With mileage like that, we will keep the oil drillers in business.

Everyone Needs One of These Big, Powerful Jeeps

 I have seen plenty of the more affluent college students (usually those in sororities and fraternities) tooling around in one of these with all of their friends aboard.  We need to drill deeper to keep American humming along.  So “drill baby drill” – its the American thing to do.  Of course, if Chrysler can’t sell enough of these things because more and more people are beginning to see the insanity of SUVs, the taxpayers will need to gear up for another bail out.

A Supreme Court justice once said he could not define pornography but knew it when he saw it.  I think I have seen quite a bit of it.  For instance, if you just look at the forty or so volumes of the U.S. Tax Code, you will notice that obscenity abounds.  Consider this for X-rated:   Right now, in the year 2010, we have millions and millions of poor mothers and children who are unable to obtain even a modicum of assistance through the obscenely mean spirited Temporary Aid to Needy Family (TANF) program while at the same time very rich people can leave everything to their heirs who will not be taxed one penny for their inheritance.

For instance, a billionaire by the name of Dan L. Duncan died in late March and left an estate worth about $9 billion to his children.  His wife received several hundred million dollars worth of stock and his ranch.

Mr. Duncan could do this because of a section in the Bush sponsored tax bill that eliminated estate taxes altogether for the year 2010.  The Democrats, who control Congress, don’t seem to be overly incensed about this state of affairs.  We will probably lose as much tax revenue from this gift to the rich as the Federal government appropriates to the TANF program, which is $11 billion – a large part of which pays bureaucrats to make it nearly impossible for poor mothers to get any aid at all.

Dan L. Duncan Liked to Hunt and Kill African Wildlife

HR 4213, the so-called “extenders bill,” passed the House Representatives last month but only after the Blue Dog Democrats and Republicans were able to force House leaders to eliminate $31 billion worth of COBRA subsidies and Medicaid funding.  By bowing to the Tea Party – a political movement of fools and idiots – the House Blue Dogs have been able to put the states in a horrifying position.  They badly, very badly, need the $23 billion in Medicaid funds that were lopped off of the bill.

The Senate can restore these cuts but will need the House to go along with the restoration in conference committee.  Where does Congressman Dennis Moore stand on restoration of these cuts?  I can’t say because a call to his Washington office and a discussion with his communications director left that question unanswered.  All he would tell me is that the Congressman voted for the bill.  Yes, but that was after elimination of the $31 billion.  Where did he stand on eliminating it?  All the communications director would say is that he was not part of the negotiations.  Will he fight to restore these funds?  No answer.

CALL CONGRESSMAN MOORE AND TELL HIM TO FIGHT FOR BADLY NEEDED MEDICAID FUNDS:

Overland Park Office – 913-383-2013

Kansas City, KS – 913-621-0832

Lawrence, KS – 785-842-9313

Washington, DC – 202-225-2865

Here is a nasty little piece of ageism appearing in the op ed section of the New York Times this morning:

“If anyone should be complaining about deficits, it should be the 20-somethings who will have to pay for all those meds-popping boomers moving into the comfort of Medicare and Social Security.” (Timothy Egan, “Save Us, Millennials”)

This nonsense is promoting inter-generational conflict.  It is reminiscent of the inter-class, racial conflict promoted by the Neo-cons in the 1970s and 1980s that led to cruel welfare changes in the 1990s.  Poor folks – mostly women and children – were sterotyped as lazy, shiftless, and dependent (and visualized as being African American).  Most people who knew nothing about welfare recipients – and that was most people – bought into all of the stereotypes.  You have probably heard the one about the welfare mom standing in line at the super market with expensive steak.  Everyone had heard a horror story about some welfare mother.

Meds popping, in the comfort of Social Security and Medicare Boomers indeed!  The generation approaching retirement now is quite diverse.  A large portion will be poor (at least a third).  Many have lost a big share of their hard earned retirement funds due to a corrupt relationship between Congress and the financial industry.  Most have paid their FICA and MICA taxes throughout their working careers.   Who were they paying for? 

Comfort?  What comfort?  Social Security doesn’t even provide enough to afford the minimal needs of elderly citizens.

With cuts in resources for public education these days, teachers are being fired.  Many “liberal” older listeners to NPR might think that public radio would be tuned into the types of negative stereotypes and discrimination that accompany employment actions.  No so.  On June 2nd, NPR correspondent Larry Abramson presented a segment entitled “In Teacher Layoffs, Seniority Rules.  But Should It?”

The report bemoaned the layoff of younger teachers due to seniority.  The implication of the entire segment is that seniority laws unduly protect older “slugs” who just happen to have been around a long time.  Below is a picture of Christa Krohn, described in the report as “one of those perky, vivacious teachers every parent wants for their child.”

Hey what parents want a 50 something old person with 25 years of teaching experience around their kid.  How about this:  there are many promising young teachers graduating from college who should have a fair chance to fulfill their career goals in education.  It isn’t about old or young teachers.  Due to budget cuts, we are cheating our children by laying off teachers.  Period.  End of story.  It is on the social justice of offering all children a decent education that NPR should be focusing.

See the last post on the growth of the child population in the U.S.

Given all the palaver about “Baby Boomer” hordes about to descend upon the health care system, you might think that the rest of the U.S. population is shrinking.  That would be wrong – way wrong.  In fact, the overall growth of the population in this country presents real problems to a political-economic system with disappearing jobs, shrinking educational resources, diminished government services, and an increasingly polluted and wasted environment. 

The demographic information presented in this post has come mostly from the U.S. Census Bureau.  One would be hard pressed to find a professional demographer who disagrees with it.  The graph at the bottom of this post displays U.S. population growth in millions (Y axis) for the years 1950 to 2050 (X axis).  As you can see the population between 1950 and now, practically doubled – from 161 million to 312 million.  However, in the next 30 years, another 128 million people – roughly one and one-half Irans – will be added to the U.S.  Only 48.3 million of this growth will be in the 65+ age category.  That leaves a population growth of nearly 80 million in the under 65 age category.

The “Baby Boom” child cohort peaked at 70 million in 1964.  The under 18 population remained at about 70 million for a few years and then declined gradually until the mid-80s when it bottomed out at 64 million.  This was a “dip” but not a bust.  There was never a “Baby Bust.”  Neither was there an echo.  The child population began to grow again and reached 70 million again in the mid-90s and has never quit growing.  As the table immediately below indicates, there are now 75 million children in the U.S.  This will grow to 101 million by 2050!  WHY IS NO ONE TALKING ABOUT THIS?

*The 85+ group is counted twice – as part of the 65+ category and broken out as a separate group.

It is easy to be misled by the difference between absolute growth and relative growth.  In relative terms, the 85+ group will grow by 231% by2050 while the 0 to 18 population will grow by 35%.  However, in absolute growth (absolute numbers), the 85+ population will add 13.2 million while the 0 to 18 population will add 26.3 million.  Approximately 63% of the population growth will come in the under 65 age categories.

I will leave the readers of this post with the following question:  “Why is the press, the government,and just about every other influential institution ignoring the unsustainable population growth thatwe are now experiencing?”  It is unsustainable in the current U.S. living and governing mode.

U.S. Population Growth – 1950 to 2050