The biggest Ponzi scheme in history
The biggest Ponzi scheme in history Robert Reich Mar 6 Friends, I remain optimistic about the longer term, but I still awaken each morning with a sense of dread. I’m sure some of you do, too. Start with Elon Musk’s bonkers comment that Social Security is “the biggest Ponzi scheme of all time.” In a Ponzi scheme, a con artist lures investors into a fake investment project, pockets the cash, and then gets new “investors” to funnel their cash to the earlier investors — until there are no new recruits and the whole thing collapses. The last ones in are suckers left holding worthless bags. Social Security is not a Ponzi scheme. It’s a high-functioning, universal, and exceptionally efficient part of the American social safety net — the opposite of a Ponzi scheme. Which is why the overwhelming majority of Americans oppose cutting it . Social Security is a simple “pay as you go” program. Current workers, via the payroll tax, fund payouts for retirees and di...