IF WE MUST HAVE GOVERNMENT LETS HAVE RATIONAL GOVERNMENT “We know personal accou

IF WE MUST HAVE GOVERNMENT LETS HAVE RATIONAL GOVERNMENT

“We know personal accounts work because we’ve seen them work successfully in Chile and Galveston, Texas.

In 1981, Chileans were given the option of a personal Social Security account. Within a year and a half, a whopping 93% of workers transitioned from the government-run system to personal accounts. In 30 years, because of the power of compound interest, Chileans who opted for personal accounts have retired with two to three times more money than what they would have received from traditional Social Security. Chile also guaranteed that if an individual’s personal account dropped below the minimum amount the government would make up the difference. In 30 years, they have never had to write a single check.

The experience in Galveston, Texas mirrors that of Chile: A system that transfers control of retirement decisions from bureaucrats to workers ultimately yields much higher returns than traditional Social Security could ever provide.” – Gingrich.