Summary
An economist argues that cuts to Social Security benefits might not be necessary despite concerns of future financial shortfalls. Social Security could face similar issues as it did in the 1980s, where legislative solutions were implemented to maintain its function. The focus is on how to secure long-term funding, not whether Social Security can be preserved.
Key Facts
- Social Security is not likely to face bankruptcy or collapse soon, according to economist Stephen Nuñez.
- Predictions suggest benefit cuts of about 20% around 2033 if no changes are made.
- A survey found that 74% of Americans worry Social Security might run out in their lifetime.
- The program faced a similar issue in the 1980s, but congressional reforms extended its viability.
- Nuñez mentions Congress has time to use existing data to find options for fixing the funding gap.
- Kevin Thompson notes no changes will be made immediately, as insolvency is still years away.
- Some experts suggest that future anxiety might grow if the shortfall becomes more apparent.
