In Minnesota, as with elsewhere in the United States, we cannot escape an unfortunate political and societal reality: the interconnectedness of every issue imaginable. As such, proposing to fix a problem is a daunting undertaking since many other issues must also be addressed simultaneously.
Take the Social Security System, the so-called “third rail” of American politics that one dare not touch if they care about a future in politics. If anybody was really serious about ending this legalized stripping of wealth from the younger generations, have they the faintest idea as to what it would entail?
A frequent criticism of proposals to end Social Security is that instead of the “guaranteed” flow of money from this program, recipients would instead have to rely on the unpredictable and volatile stock market in which people have lost untold sums of money in the past few years. Fair enough, but criticisms such as this don’t look nearly deeply enough at the issue either, much like Social Security critics themselves don’t.
When people buy stock, they rarely buy it for the benefits of partial ownership in a business as was the case in the old days. Rather, people buy with hopes of making money or at least preserving the value of their money against inflation, to ensure that their money is still worth the same amount years from now.
Would such investment be necessary if inflation didn’t exist? Well, what do you think? By no means! If inflation didn’t exist, the financial services industry as we know it would appear radically different to us too! But because inflation exists, the financial services industry and its associated baggage exist out of necessity. However, inflation doesn’t need to exist and is a largely artificially-created phenomenon.
The Federal Reserve System, created by an act of Congress in 1913, now controls the United States monetary system. This control includes the ability to create new money out of nowhere without corresponding economic activity to support it. This causes inflation which makes many other systems and institutions necessary.
And now it becomes clear how calls to end Social Security and criticisms of those calls merely scratch the surface of what really needs to be done. Very few political leaders will admit this, but before anything can change, we the People must stand up and demand depth of thought, discussion of the whole truth.
Lacking that, we remain stuck.