A bit boring, sure, but I think this may be useful. There's a certain subset of commentators and pundits who like to engage in a lot of eschatological posturing about the Baby Boomers coming retirement. The implication, always, is that we must either become a nation of paupers or leave our parents to beg on the street, there is neither a desirable middle ground nor the slightest sliver of hope. This isn't to understate the cost issues or pretend there are no tradeoffs, but it's worth thinking a bit about how big the baby Boom really is. So here ya go:
And that's, well, it. For you USA Today readers, here's the same data in pie graph form:
Granted, you can't deal with a demographic crunch by cutting taxes, running up massive deficits, and crafting new entitlements in the most expensive, inefficient ways possible, but if you're serious about creating good public policy and willing to raise taxes to levels more in line with other Western governments, the coming retirements are fully absorbable. Add in a smarter immigration policy (immigrants tend to pay in much more than they take out from long-term entitlements), a renewed seriousness towards cost control, and a diminished willingness to sacrifice savings for industry profits and the insurmountable problems we face become instantly more surmountable. The Baby Boom will force soem touch choice, sure, but only because our legislators have been so profoundly unserious, ideological, and short-sighted thus far.
