Even many who are sympathetic to the idea see George W. Bush's proposal, if not as risky economics, as risky politics. We're going to try our best to stay away from it. But the political risks of proposing personal accounts are vastly overstated. Unless reformed, Social Security cannot pay full benefits beyond 2015 without either tax increases or cuts in other spending. Texas governor George W. Bush's plan to let workers invest a portion of their payroll taxes in stocks and bonds would increase the program's return, leading to higher retirement incomes for seniors and a lower tax burden on workers.
Personal accounts are good policy.
Personal accounts are also good politics. Moreover, opinion polls show an obvious public desire to control one's own finances. Enthusiasm for personal accounts crosses all traditional boundaries. Again, likely voters prefer the market. In fact, strong opposition to market investment comes only when it is performed by the government, as the Clinton administration has proposed.