A system of individual accounts within Social Security could involve millions of Americans, billions of dollars, and could have a broad impact on the American economy. Thus, if IAs were to be adopted, the stakes are high to design a well-functioning system to administer the collection and investment of account assets. Each choice also involves a cost. Although competition may help to drive down costs, in general, the more decentralized the system, the higher the administrative costs. Costs would also be higher for options that provide participants with more services - such as account management options, multiple investment choices, and personalized financial advice.
In 1996, Congress enacted comprehensive reform of the nations statutory and regulatory framework for telecommunications by passing the Telecommunications Act, which substantially amended the 1934 Communications Act. The act created distinct regulatory regimes for these service-specific telephone networks and cable networks that included provisions intended to foster competition from new entrants that used network architectures and technologies similar to those of the incumbents. But the deployment of digital technologies in these previously distinct networks has led to market convergence and ""Intermodal"" competition, as telephone, cable, and even wireless networks increasingly are able to offer voice, data, and video services over a single broadband platform.