You see, the biggest reason Social Security is in trouble, and Medicare as well, is because America is aging so fast. It’s not just that so many boomers are retiring. It’s also that seniors are living longer. And families are having fewer children.
Add it all up and the number of people who are working relative to the number who are retired keeps shrinking.
Forty years ago there were five workers for every retiree. Now there are three. Within a couple of decades, there will be only two workers per retiree. There’s no way just two workers will be able or willing to pay enough payroll taxes to keep benefits flowing to every retiree.
This is where immigration comes in. Most immigrants are young because the impoverished countries they come from are demographically the opposite of rich countries. Rather than aging populations, their populations are bursting with young people.
Reich is right, though his party wrongly focuses on amnesty for unskilled illegal aliens. Educated, skilled immigrants would contribute far more to the Social Security Ponzi scheme, and would be less of a burden on our health care, law enforcement, and education systems. We ought to enforce employment law so that illegals would self-deport, then allow a big, generous green card program for workers (especially skilled) who want to come here legally.
While Reich focuses on the Social Security and Medicare Ponzi schemes, immigrants could solve a lot of other problems, too. You want to re-inflate the housing bubble? Offer a green card to every Chinese guy who buys a California house.