Looking at the generations from the Fourth Turning perspective

[sbarrera]

(06-06-2018, 10:07 AM)David Horn Wrote:

(06-05-2018, 06:24 PM)sbarrera Wrote:

(06-05-2018, 12:25 PM)tg63 Wrote: It's a great perspective. I was struck by how many appear accurate, but the one that made me think a bit was that, in the crisis, boomers would be expected to trade material security for moral authority. I'm not sure if/how that is manifesting ... or maybe that's the next stage.

Not sure about that one, either. The only thing that comes close is that they are not making any effort to salvage social security/medicare which will hurt them materially. But it will hurt Gen-Xers worse.

SS and MC are actually in pretty good shape.  No commercial alternative is better, and, in any case, no upgrade to either is even possible.  What should tell the tale is the willingness of Boomers to be taxed for the general welfare.  Obviously, the Trumpists are adamantly opposed, but the jury is still out on the rest of us.  We've reached a near terminal point in wealth disparity that is still compatible with Western-style democracy.  Obviously, most of the 1% will fight to keep theirs, but the next tier are the ones who will suffer some loss of prestige and comfort.  Let's see if they will accept the loss graciously, though it may be a bit of a stretch to expect them to give it up willingly.

 This is the latest news I recall:

 https://www.ohio.com/akron/news/nation/t...-worsening

Medicare, Social Security finances worsening, federal report warns
Published: June 5, 2018 - 5:34 PM | Updated: June 5, 2018 - 11:48 PM
By Ricardo Alonso-Zaldivar and Andrew Taylor
Associated Press
WASHINGTON: Medicare will run out of money sooner than expected, and Social Security’s financial problems can’t be ignored either, the government said Tuesday in a sobering checkup on programs vital to the middle class.
The report from program trustees says Medicare will become insolvent in 2026 — three years earlier than previously forecast. Its giant trust fund for inpatient care won’t be able to fully cover projected medical bills starting at that point.
The report says Social Security will become insolvent in 2034 — no change from the projection last year.
The warning serves as a reminder of major issues left to languish while Washington plunges deeper into partisan strife. Because of the deterioration in Medicare’s finances, officials said the Trump administration will be required by law to send Congress a plan next year to address the problems, after the president’s budget is submitted.
Treasury Secretary Steven Mnuchin said in a statement that there’s time to fix the problems.
“The programs remain secure,” Mnuchin said. Medicare “is on track to meet its obligations to beneficiaries well into the next decade.”
“However, certain long-term issues persist,” the statement added. “Lack-luster economic growth in previous years, coupled with an aging population, has contributed to the projected shortages for both Social Security and Medicare.”
The recent Republican tax-cut bill is expected to add to the debt.
Last year’s tax law, which cut taxes on Social Security benefits, helped exacerbate the shortfall. So too did repeal of the individual mandate in the Affordable Care Act, known as “Obama­care,” which promises to increase the number of people without health insurance and therefore Medicare payments for uncompensated medical care.
And higher deficits mean less maneuvering room for policymakers when the day of reckoning finally arrives for Social Security and Medicare.
Social Security recipients are likely to see a cost-of-living increase of about 2.4 percent next year, said government number-crunchers who produced the report. That works out to about $31 a month.
At the same time, the monthly Medicare “Part B” premium for outpatient care paid by most beneficiaries is projected to rise by about $1.50, to $135.50.
Both the cost-of-living increase and the Medicare outpatient premium are not officially determined until later in the year, and the initial projections can change.
More than 62 million retirees, disabled workers, spouses and surviving children receive Social Security benefits. The average monthly payment is $1,294 for all beneficiaries. Medicare provides health insurance for about 60 million people, most of whom are age 65 or older.
Together the two programs have been credited with dramatically reducing poverty among older people and extending life expectancy for Americans. Financed with payroll taxes collected from workers and employers, Social Security and Medicare account for about 40 percent of government spending, excluding interest on the federal debt.
But demands on both programs are increasing as America ages.
Unless lawmakers act, both programs face the prospect of being unable to cover the full cost of promised benefits.