March 04, 2008
McCain's Straight Talk Express crashes: Integrity is major Casuality
McCain has come out for private accounts.
(Wall St. Journal Bob Davis 3/3/08)
This mechanism will allow the financial types to take a fee out of each person's social security transactions. They will invent new and better accounts and trade the public's assets ad infinitum in a manner quite similar to getting their hands on the mortgage industry.
After they take their cut and their fees out of all social security transactions it will also inevitably occur that they will have hyped certain assets or account types and thus a large percentage of Americans will lose significant chunks of their retirement monies. They will certainly lose money with the steady drip of financial fees but security will also be a victim as asset values will be hyped and then suffer reversals.
This outcome is written in stone. The presumed selling point value of private accounts is premised on the stock market always increasing in value. At it's base, this assumption has the same premise as the defunct premise that housing values would never suffer reversals. The so created private accounts will hugely decrease at various times as will the total (national) asset value under management and the security feature now embodied in social security.
If McCain has a shred of integrity he will not trade aging and elderly American's retirement monies and security to attract the Wall Street votes and financial backing.
He stands for nothing if he perseveres in calling for privatized social security accounts.