A solution for Social Security as doomsday nears: but why isn't anyone taking it up?

**Christy Strawser** (0:00)
The day's biggest stories, the people behind the headlines, the conversations you won't hear anywhere else. I'm Christy Strawser, you're listening to Audacy's On Deadline. We have an important topic and a great interview. So without further ado, let's get into how to fix social security.
Here's Tommy Tucker in New Orleans.

**Tommy Tucker** (0:20)
Catherine Ann Edwards, economist, writer for Bloomberg, host of the Optimist Economy Podcast. Do you want to start talking about the cliff, how steep it is and when it's approaching?

**Catherine Ann Edwards** (0:32)
The Social Security Trust Fund is projected to be depleted of funds at around 2032
I would say around 40% of Americans suffer from a very gross misunderstanding that at that point, the program itself ends. But as long as there are workers in the US economy, Social Security is receiving payroll tax contributions. But at that point, it doesn't have enough to cover promised benefits. So, we set up either a one-time benefit cut, pretty sizable, it would hurt a lot of families, versus Congress acts beforehand to shore up the program's finances. So, I think it's a big day, but it's not doomsday. And it's not only have we had this date projected, since around 1985, we knew that something like this would happen. We have plenty of time to act so that no seniors and no workers are left worse off.

**Tommy Tucker** (1:20)
You know, you just say that you would think if there is gross misunderstanding that the program is going to go away, that the politicians would use that as a reason to, okay, we got to get serious about this, we got to do something and take advantage of that, maybe misplaced fear, but there's not been a real rush to do anything about it, has there, in Washington?

**Catherine Ann Edwards** (1:39)
There are, I mean, this is so DC, y'all, there are three separate bills to create bipartisan committees, opposing, right, three different committees for three different bills, three different bipartisan committees to possibly design reform that then Congress can vote on. It's like the difference between-

**Tommy Tucker** (1:54)
Wait, say that again? I just, I'd love, I love the, the securitist route of that language. Say it again.

**Catherine Ann Edwards** (2:01)
Yeah, so your members of Congress are right now considering one of three bipartisan bills that would create bipartisan committees in each of them to design Social Security reform that is then brought back to Congress for them to consider. I think that this is the perfect illustration of the difference between activity and action.
They are doing a lot without doing a lot. I think, you know, I work on a lot of issues related to labor economics, the earnings of Americans, the programs that end up touching them, you know, how to make the labor market more dynamic. I can say with certainty, there is no greater disconnect between the American people and the American Congress than Social Security. Americans have an incredible amount of unity and understanding of what they want. They don't want benefit cuts. And if you tell them that means higher taxes, most of them don't care. I mean, there are bipartisan or there are proposals to raise Social Security taxes that 80% of Republican voters are in favor of. And around 85% of Americans say quite firmly, do not cut this benefit. But for some reason, we've got 535 people in a big building in DC who do not seem to get the message.

**Tommy Tucker** (3:10)
Is there a disconnect between who's going to be paying those taxes and who favors them?

**Catherine Ann Edwards** (3:15)
You know, even young people have broad support to not cut Social Security because it's not a program for old people. It's a program for Americans. People know when their parents and their grandparents have economic independence and dignity. And even if they pay the tax, they want that for their family members. You know, even high income Republicans who make above the tax cap and therefore pay a lower tax rate than the rest of Americans, even they'll say it doesn't make sense why I pay less. That doesn't mean that it has 100% support, but the most popular policy for Social Security is to get rid of the tax cap.
And yet, it has almost no support amongst Republicans on Capitol Hill, even though it has vast support amongst Republican voters. Now, you might find yourself listening and think, I don't agree with that, but, you know, you can be in the minority of a very majority issue. And Social Security is a majority issue. People don't want to benefit cut.

**Tommy Tucker** (4:04)
People get their back up when you call it an entitlement program, but it really is, is it not?