IDEAS home Printed from https://ideas.repec.org/p/fip/fedcwp/9912.html
   My bibliography  Save this paper

Social Security's treatment of postwar Americans: how bad can it get?

Author

Listed:
  • Jagadeesh Gokhale
  • Laurence J. Kotlikoff

Abstract

The authors consider Social Security’s treatment of postwar Americans under alternative tax increases and benefit cuts that would help bring the system’s finances into present-value balance. The alternatives include immediate tax increases, eliminating the ceiling on taxable payroll, immediate and sustained benefit cuts, raising the system’s normal retirement age, switching from wage to price indexing in calculating benefits, and limiting the price indexing of benefits. The choices made among these and other alternatives have important consequences for which postwar generations (and which of their members) will be forced to pay for the system’s long-term financing problems.

Suggested Citation

  • Jagadeesh Gokhale & Laurence J. Kotlikoff, 1999. "Social Security's treatment of postwar Americans: how bad can it get?," Working Paper 9912, Federal Reserve Bank of Cleveland.
  • Handle: RePEc:fip:fedcwp:9912
    as

    Download full text from publisher

    File URL: https://www.clevelandfed.org/~/media/content/newsroom%20and%20events/publications/working%20papers/1999/wp%209912%20social%20securitys%20treatment%20of%20postwar%20americans%20pdf.pdf?la=en
    File Function: Full text
    Download Restriction: no

    Other versions of this item:

    References listed on IDEAS

    as
    1. Anthony Pellechio & Gordon Goodfellow, 1983. "Individual Gains and Losses from Social Security before and after the 1983 Amendments," Cato Journal, Cato Journal, Cato Institute, vol. 3(2), pages 417-442, Fall.
    2. Lee, Ronald & Tuljapurkar, Shripad, 1998. "Uncertain Demographic Futures and Social Security Finances," American Economic Review, American Economic Association, vol. 88(2), pages 237-241, May.
    3. Ronald Lee & Shripad Tuljapurkar, 1997. "Death and Taxes: Longer life, consumption, and social security," Demography, Springer;Population Association of America (PAA), vol. 34(1), pages 67-81, February.
    4. Steven Caldwell & Melissa Favreault & Alla Gantman & Jagadeesh Gokhale & Thomas Johnson & Laurence J. Kotlikoff, 1999. "Social Security's Treatment of Postwar Americans," NBER Chapters,in: Tax Policy and the Economy, Volume 13, pages 109-148 National Bureau of Economic Research, Inc.
    5. Boskin, Michael J. & Kotlikoff, Lawrence J. & Puffert, Douglas J. & Shoven, John B., 1986. "Social Security: A Financial Appraisal Across and Within Generations," CEPR Publications 244432, Stanford University, Center for Economic Policy Research.
    6. Julia Lynn Coronado & Don Fullerton & Thomas Glass, 1999. "Distributional Impacts of Proposed Changes to the Social Security System," NBER Chapters,in: Tax Policy and the Economy, Volume 13, pages 149-186 National Bureau of Economic Research, Inc.
    7. Michael D. Hurd & John B. Shoven, 1985. "The Distributional Impact of Social Security," NBER Chapters,in: Pensions, Labor, and Individual Choice, pages 193-222 National Bureau of Economic Research, Inc.
    8. Peter Diamond & Jonathan Gruber, 1997. "Social Security and Retirement in the U.S," NBER Working Papers 6097, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Julia Lynn Coronado & Don Fullerton & Thomas Glass, 1999. "Distributional Impacts of Proposed Changes to the Social Security System," NBER Chapters,in: Tax Policy and the Economy, Volume 13, pages 149-186 National Bureau of Economic Research, Inc.
    2. Tosun, Mehmet Serkan, 2008. "Endogenous fiscal policy and capital market transmissions in the presence of demographic shocks," Journal of Economic Dynamics and Control, Elsevier, vol. 32(6), pages 2031-2060, June.
    3. Stanislav Klazar & Barbora Slintáková, 2012. "How Progressive is the Czech Pension Security?," Prague Economic Papers, University of Economics, Prague, vol. 2012(3), pages 309-327.
    4. Jagadeesh Gokhale & Laurence J. Kotlikoff & Alexi Sluchynsky, 2002. "Does It Pay to Work?," NBER Working Papers 9096, National Bureau of Economic Research, Inc.

    More about this item

    Keywords

    Social security;

    JEL classification:

    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedcwp:9912. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (4D Library). General contact details of provider: http://edirc.repec.org/data/frbclus.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.