05 Jan 1998 Forbes Calls on Clinton to Propose Pro-Growth Social Security Reform

(Bedminster, New Jersey) Steve Forbes, Honorary Chairman of Americans for Hope, Growth and Opportunity, a national issues advocacy organization, today challenged President Bill Clinton to create a new Social Security system for young people that is pro-family and pro-growth, and to do it now while there is still time.

“It s clear that the U.S. economy and the stock markets will outperform the increasingly bankrupt Social Security system over the long haul,” said Mr. Forbes. “So it doesn t take a rocket scientist to figure out that the way to help young people and families really save for retirement is to let them invest their own payroll taxes into the real American economy. We absolutely must protect those who are on the current system right now, and those who are going to be in the next 10 to 15 years. But I think people are increasingly ready to begin phasing in a new system of individual control, especially as they see how poorly the government-run system is being managed. The longer we wait, the more difficult the transition is going to be.”

“What is quite troubling, however, is that as we head into the sixth year of this Administration, the current Social Security system is headed for the financial rocks and President Clinton is yet to propose a comprehensive plan to save it,” said Mr. Forbes.

“It s been a full year since seven out of thirteen panelists on the President s Social Security Advisory Commission came out in favor of letting individuals have more control over investing their payroll taxes,” said Mr. Forbes. “It was last November when Federal Reserve Chairman Alan Greenspan urged the Administration not to procrastinate over fundamental reform. Now the President is talking about a special session of Congress almost a year from now. This kind of drift and delay is a mistake. It s time to demonstrate presidential leadership and put a real plan on the table.”