Mexico does it -- why can't we?

This week, Mexico will likely pass a measure to change the public worker's pension system from a pay-as-you-go system to an individual account-based system with retirement savings mobility. If Mexico can see the inescapable destiny of a pay-as-you-go system, Americans should too. This lesson should be applied to Social Security, just as prescribed by Newt in "Winning the Future."

From today's WSJ

The centerpiece of the reform, which passed the lower house last week and is expected to pass the Senate this week, is the establishment of worker-owned, individual accounts to replace the communal pool at Issste [The government pension program]. There are no changes for those already retired. Current workers will have the choice of staying with the government's defined-benefit plan and accepting gradual increases in the retirement age, or migrating to the new individual account, defined-contribution system.
Posted by Pat McFawn at 1:24 PM | | Comments (0) | TrackBacks (0)