President Obama on many occasions has said and his Treasury Secretary Jack Lew(ser) has intimated, if the government shuts down they can’t guarantee Social Security checks will go out on time and we may default on our debt.
Of course we all know the economics. The Fed collects roughly $200 billion every month. The interest on the debt is around $20 billion a month or roughly 10%, so of course we can pay our debts rather easily.
But what about Social Security – the dreaded “third rail” of politics? Both Republican and Democrat politicians like to play word games with the “third rail”. Yet it is only the Democrats that claim if this or that demand isn’t met, granny may not get her Social Security check.
As an aside, as of May 1, 2011 the government began phasing out physical checks, not only for Social Security but all benefit payments and as of March 1, 2013 all benefit payments are electronic transfers. So let’s stop with the “granny won’t get her check”. It’s all automatic, but I guess semantically speaking, she won’t.
So why is what Obama and Treasury Secretary Lew(ser) so shameful? The answer is that it is impossible for Social Security not to have the money to pay out each month, regardless of the debt ceiling or government shut down of any kind. It is however estimated that by between 2033 and 2038 Social Security will indeed be dead if nothing changes.
Obama said, “In a government shut down, Social Security checks still go out on time. In an economic shut down – if we don’t raise the debt ceiling – they don’t go out on time.”
Well, that not-so-subtle threat is just that, a hollow threat and an out right lie, that he, Lew(ser) any other Democrat bomb throwers must know. That or they are too stupid to hold office or even work the counter at the local convenience store.
Read More: http://commonconstitutionalist.com/