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The Ludwig von Mises Institute  Advancing Austrian Economics,
Liberty, and Peace  Advancing the scholarship of liberty in the
tradition of the Austrian School  Search Mises.org  Abolish It
Mises Daily: Tuesday, December 08, 1998 by  This letter appeared
in the Wall Street Journal, December 10, 1998  Bankrupt
Socialist Contraption  Your Dec. 1 editorial about Social
Security ("The GOP Tax Increase") is, like much of the debate
over Social Security, unclear in its assumptions and
disingenuous in its conclusion, specifically the idea that
raising taxes is not inextricably linked to diverting revenues
from Social Security to private savings. Social Security is not
an "investment" in the classical sense of the term, nor do
participants "save" any money when they make contributions.
Current contributions pay current benefits, with any surplus
going into the Treasury's general fund.  The Social Security
Administration receives an IOU from the Treasury