Monday, February 24, 2014

Obama drops controversial Social Security proposal

http://money.cnn.com/2014/02/20/news/economy/obama-social-security-chained-cpi/index.html?iid=SF_E_River

This article talks about President Obama's lack of interest to reduce the annual growth in social security benefit, but by switching to the "chained CPI", it would result in "smaller" benefit increases than using the normal consumer price index. The article also talks about how chained CPI  would affect the United States. Chained CPI would slow all federal payments' growth rate, such as pensions for civilian workers and the military, veterans' benefits. It would also cause higher tax by slowing changes to tax parameters that go up with inflation. And according to the Congressional Budget Office, switching to chained CPI would reduce deficits by $233 billion over 10 years. Many people are complaining about our President has no willingness for doing anything, not even address looming debt crisis.

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