Is Social Security a “Ponzi Scheme”?
9th September 2011
Jonathan Last cuts through the crap.
What has amazed me over the last week or so is the silliness of those who treat the argument as if it’s somehow out of bounds just because Rick Perry is making it. Believe it or not, Rick Perry is not the first person to view Social Security as a “Ponzi scheme.”
The first person I’ve found drawing the parallel is economist Paul A. Samuelson. In the November 13, 1967 Newsweek Samuelson defended Social Security by pointing out that it was linked to population growth and that “A growing nation is the greatest Ponzi scheme ever devised. And that is a fact, not a paradox.”