Are The Social Security Trust Funds Meaningful?

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Source: Boston College

Date: January 2008

Type: White Paper

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Overview: Taking Social Security out of the budget is an essential first step to enhancing the likelihood that trust fund accumulations translate into national saving. Broadening trust fund investments - a more controversial proposal - would reinforce the separateness of the program and could further the goal of greater saving. Personal accounts that reflect new revenues are another option that could increase national saving. This research paper explains the effectiveness of building up assets in the Social Security trust funds. It first describes the economic rationale for such a buildup.

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