A Retirement Fable
Thursday, April 7th, 2005My wife and I are worried about having enough money for a comfortable retirement. With the states of the economy and the world as they are we have been quite anxious. So I’ve come up with a plan:
My wife and I are worried about having enough money for a comfortable retirement. With the states of the economy and the world as they are we have been quite anxious. So I’ve come up with a plan:
I find this indifference to the very real cash-flow obligations with which we are saddling our children and grandchildren dismaying. I wrote this as yet another attempt to convince them – and their equally insouciant readers – to take those obligations seriously
Union representative William Seay (letters, 7 March 2005) hypothetically trades off a $50,000/year wage for Wal-Mart stockers/checkers/baggers/greeters with “a 12 percent discount on Gummy bears and barbecue grills” for Wal-Mart shoppers — implying, of course, that any rational and compassionate society would take the hit on their Gummy bears if it meant a decent standard of living for those poorest of employees.
But Mr. Seay’s analysis is corrupted by the same “all other things being equal” assumption that pervades so much of the economic reasoning in our political debates — the assumption that in coercing a significant change in wages nothing else would change as a result.
The current debate over reform of the Social Security system has taken on all the qualities of an argument between 6-year-olds, reduced in essence to the intellectual content of the classic “Is not!”, “Is so!”.
In October of 2004 Michael Shellenberger and Ted Nordhaus published a critique of the environmental movement, which they claimed was too focused on technical and policy arguments over regulations and not focused enough on presenting a positive vision that inspired people to their cause. They had become the dour uncle focused on limits and sacrifice, presenting a grim future with a message of “just say no” to progress.
Salon.com wrote about their article and about the ensuing debate within the environmental community over the future of environmentalism. I thought the self-critique was insightful and overdue, but I thought they overlooked one aspect of modern environmentalism that contributes to its decline within the broad American population.
There may be aspects of the new tax proposals that would shift tax burden from rich to poor, but the elimination of deductions for state and local taxes would not seem to be among them. Could it be that the primary outrage is not with the plan itself but with the fact that George Bush and the Republican Congress are the ones who get to propose it?
Here’s what the Democrats really need to acknowledge: “values” – whatever they may be – are a huge part of our “interests” and most of us are willing to sacrifice some (or even a lot) of economic advantage to have the “values” of society reflect our own – or at least to secure our freedom to live by our “values” without interference from people who think they know better than we.
Even if those justices are right that the law as written is probably neither fair nor what Congress really intended, why does it not frighten ‘liberals’ to hand the authority to make that determination — and to re-write the law — to five appointed officials (a court majority) with lifetime tenure? Wouldn’t we all be better served if the Court instead pointed out the contradiction in the law to our elected representatives in Congress and allowed the legislative process to address it? Isn’t that how democratic government is supposed to work?
And if it did, wouldn’t the prospect of new Supreme Court appointments be a lot less terrifying for those on the losing side of the election — whichever side that might be?
And what is the reporters’ and editors’ responsibility in these cases? They want background information to help them know and judge the truth; does that not also give them a responsibility equal to that of the government to protect that information until it is no longer sensitive?
During the last presidential campaign John Kerry scored populist points castigating “greedy corporations” who avoided paying their “fare share” of taxes by “sheltering” their profits in foreign countries. In an era of corporate downsizing and record budget deficits that topic resonated with many people, and the charges were repeated widely before disappearing under the weight of other criticism more easily tied directly to George Bush. But before they disappeared The Boston Globe ran a piece by Stephen Glain on the topic in their business section. I sincerely believe there is a lot of questionable – or downright dishonest – stuff going on behind the corporate veil in support of avoiding taxes. But I also believe that a business reporter should consider the possibility that some practices characterized by populist politicians as malfeasance may actually have a rational and legitimate basis in business principles – and that a reporter writing a story on the topic should at least talk to some people in business who are using those practices before writing the story about them.