Reforming the welfare state

So called entitlement programs need reform, they are unaffordable, at least if you are not on the left side of things.

Here are some steps to consider:

Change the national retirement system from a defined-benefit system to a defined-contribution system (pension to 401(k)

Make federal pension more aligned with lifetime income

Raise the normal retirement age

Increase early retirement age

Cut the period of unemployment benefits in half

Allow private companies to compete with government for contracts, including in health care

Allow free choice of schools, extensive use of vouchers and supplemental parent contributions.

Before the Krugmans and Sanders of the world become apoplectic …

These are all changes made over the years by Sweden and Denmark, two icons of the social welfare state.

Leave a Reply