Pension Mess the Result of Union Fantasy Politics

Pension Mess the Result of Union Fantasy Politics - Mark Baisley - Townhall Finance Conservative Columnists and Financial Commentary - Page 1:

We only have to look as far as Detroit to see the results of statism carried out to its tragic mathematical folly. Not only do the neighborhoods look like General Rommel just marched through, the bank accounts also look like they have been victimized by Nazi plunder. Detroit’s public employee pension plan is about $20 billion in the hole.

Several other large American cities are facing similar crises in unfunded pension liabilities, with Chicago leading in debt as tall as its skyscrapers. The state of Illinois, along with all of its city governments, combine for more that $200 billion in unfunded retirement promises to its public employees.

This national mess is purely the outcome of fantasy politics. Liberals vote liberals into office who promise liberals that they will liberally fund their pensions. The sum of all unfunded public employee pension liabilities across the country is now pushing $1 trillion. It’s just not funny anymore.

While less dramatic, Social Security is facing a similar demise. The insolvency date keeps officially moving closer and is now predicted to arrive about 18 years from today.

The United States Treasury withholds money from our paychecks during our working years with the good intent of making payments back to us during our retirement years. But the moment that our withheld dollars arrive in Washington, they are immediately borrowed by an out-of-control Congress to fund the dreams of the president’s father.