Marketplace Radio Goes on Attack Against Social Security

Marketplace had a segment this morning noting that a group of actuaries wants to raise the retirement age for Social Security. It noted that the program is running a $200 billion surplus now, but that it will have a deficit in just 7 years due to retiring baby boomers. This is not true. The $200 billion surplus refers to total revenues, both taxes and interest on the government bonds held by the program. The program is projected to continue to have an annual surplus until the middle of the 20s. It will not fully draw down its bond holdings until 2046, according to the latest projections from the Congressional Budget Office. It is understandable that a group of actuaries might want to raise the retirement age because of the possibility of a Social Security shortfall almost 40 years in the future, but Marketplace should not misrepresent the facts to help advance their case.

--Dean Baker