February 03, 2005

THE FOLKS at the CATO Institute liked the President's State of the Union Address -- and they should, because more than anyone it was the CATO people who inspired Bush's thinking on Social Security reform.

Read their reactions. Here's Ed Crane:

President Bush is to be commended for recognizing the need for personal accounts within Social Security .. The major flaws [in the current system] are the lack of ownership, wealth creation, and inheritability that plague the current system. What the president has proposed is clearly a step in the right direction, but it doesn't go far enough, fast enough. The president is too concerned with financing issues. Debt in America is at an historically modest level and our $2.2 trillion federal budget offers a myriad of opportunities to fund the transition. The key is ownership. The focus should be ownership. The administration should put forth a proposal that allows Americans to purchase real assets with their entire 6.2 percent share of the payroll tax with no limits -- money that will grow, that they can leave to their loved ones, and that the politicians can't touch."
And congratulations to blogger Pat Hynes who has been hired to lead CATO's Social Security reform public relations effort. Good luck Pat. (ht Kerry Haters, who also have a don't miss picture of Kerry and Kennedy.) Posted by Greg Ransom