If the Administration wants to provide bailout relief, here is a simple solution. Waive taxes on 401ks and IRAs and allow Americans to withdraw all monies tax free so they can reinvest in real assets, including small businesses that create jobs. That will make up for some or all of the 25-50% losses resulting from government and Wall Street fraud.
Instead, we are now seeing a waive of policy proposals that could lead to confiscation plans. It appears progressive Washington think tanks no longer call it confiscation. They call it “government – run.” Now that the Social Security reserves have been looted, here is a way to justify confiscating additional retirement funds to replenish them so the looting can continue. It will start out with an “option.”
Dean Baker, Congressional testimony: “. . . in addition to the problems stemming from inadequate coverage and high costs, the current pension system subjects workers to far more risk than has been generally recognized. The government can solve all three problems by allowing workers the option to contribute to a government run pension system that would provide a modest guaranteed rate of return.
