Thursday, February 18, 1999
Clinton reveals plans for economic surplus
FORUM: President discusses, via satellite to UCLA, future of
Social Security, Medicare
By Jaime Wilson-Chiru
Daily Bruin Contributor
Though Social Security is often associated with the elderly, it
can be necessary and beneficial to people of all ages.
With this in mind, The Anderson School at UCLA held a student
forum Wednesday about the future of Social Security, featuring
President Bill Clinton, via satellite from the White House to Korn
Convocation Hall.
"This is something that affects everyone," Clinton said.
The event, witnessed by over 1,000 students nationwide, was
broadcast to 43 select colleges and universities in 28 states.
Students from several institutions gathered in the East Room of
the White House to hear the president, First Lady Hillary Rodham
Clinton and Treasury Secretary Robert Rubin debate the ins and outs
of Social Security.
"Because of the size of the baby boom generation … we have a
special responsibility to the generation represented by most of you
in this room," Clinton said.
He elaborated on a $3 trillion, 15-year plan to use the economic
surplus to fund Social Security, Medicare and tax cuts for the
middle class.
"Our plan would put a priority on investing in the future," he
said.
First, the plan will reserve 62 percent of the budget surplus
for Social Security, extending its life from 55 years to 75 years.
In addition, Clinton wants to save 15 percent of the surplus for
Medicare.
Instead of a 10 percent tax cut across the board, Clinton wants
to offer a tax cut of over $500 billion to middle class
families.
Clinton said Republicans agree using the surplus for Social
Security is a good idea, but refuse to consider funding Medicare or
tax relief for the middle class.
"Under all of these complexities is a fundamentally simple
choice," Clinton said.
He believes that the long-term effects of the plan will be
positive as a result of the country’s financial security.
But Republicans have already begun to seek alternatives to
Clinton’s plan by working on a counter measure to this proposal
that suggests the investment of the Social Security funds in to
stocks. They also question whether the plan will increase the
national debt.
While Social Security is often linked with retirement, 30
percent of those who receive the benefit are survivors of a worker
covered by Social Security or are severely disabled workers and
their families under retirement age.
After Clinton delivered his speech, UCLA students debated the
issue with several Social Security executives.
"This is one of the reasons we wanted to have these forums
across the country," said Peter Spencer, assistant regional
commissioner for the Social Security Administration.
"The generation of people in college are the ones who know the
least about Social Security. We’re challenging students to get
involved," Spencer said. He stressed that Social Security is more
than just a retirement program.
Students echoed this sentiment.
"I didn’t realize that Social Security affected so many young
people," said Travis Dredd, a third-year political science
student.
He and other UCLA students attended the discussion in hopes of
learning more about the program and Clinton’s long-term plan.
"In theory it sounds great," Dredd said. "But all investments
come with investment risks. Yielding a profit is just not
guaranteed."
According to the Social Security administration, about 95,000
students ages 18 and 19 received an average monthly benefit of $470
last year.MICHAEL ROSS WACHT/Daily Bruin Senior Staff
On Wednesday, an audience gathered in Korn Convocation Hall in
The Anderson School at UCLA to watch the president and the first
lady talk about Social Security.
Comments, feedback, problems?
© 1998 ASUCLA Communications Board[Home]