Funding Social Security: A Strategic Alternative

Description

Funding Social Security offers serious consideration of the debate on social security reform that is taking place in many countries around the world. The work advocates the concept of "funded social security" as a middle position between pay-as-you-go (PAYGO) social security and privatized social security, and constitutes a politically strategic alternative. Professor Seidman's analysis covers two distinct components, fund accumulation and portfolio diversification. The concept of funded social security uses a mix of payroll taxes and portfolio investment income to finance benefits.

"Seidman's book presents a thoughtful analysis of a proposal to fund Social Security without creating individual accounts - a proposal based on an excellent approach to Social Security reform." Peter A. Diamond, MIT "Too often, the first casualty of intense debate is sober and honest analysis. As the debate on Social Security reform intensifies it is, therefore, particularly gratifying to come upon a study as clear, sober, and sensible as Laurence Seidman's Funding Social Security: A Strategic Alternative. In this book, he explains why it is important both to fund Social Security - and thereby boost national saving - and retain the reliability of pension benefits that Social Security provides." Henry J. Aaron, The Brookings Institution