Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP
Posting-Version: version B 2.10.1 (Denver Mods 7/26/84) 6/24/83; site drutx.UUCP
Path: utzoo!lsuc!watmath!clyde!cbosgd!ihnp4!drutx!dlo
From: dlo@drutx.UUCP (OlsonDL)
Newsgroups: net.politics
Subject: Re: Social Security and other pyramids
Message-ID: <645@drutx.UUCP>
Date: Wed, 20-Nov-85 10:09:15 EST
Article-I.D.: drutx.645
Posted: Wed Nov 20 10:09:15 1985
Date-Received: Tue, 26-Nov-85 21:20:17 EST
Organization: AT&T Information Systems Laboratories, Denver
Lines: 40

[]

In article: <826@whuxl.UUCP> orb@whuxl.UUCP (SEVENER) writes:
>Dave Olson repeats the old refrain that Social Security is
>"just a pyramid scheme":
>...
>Social Security has several important differences from pyramid schemes
>such as Amway.
>...
>Moreover as I have tried to point out (probably hopeless to blind
>ideologues) payments to Social Security and benefits are time-deferred.
>This is really not that different than the operation of a bank.
>When I put money into the bank that money does not just sit there-
>it immediately goes out in loans to other people.
>...
>Of course if *all* the banks in the country went
>bankrupt so the FDIC had to pay insurance for all those accounts,
>the FDIC would be unable to do so - just as auto insurance companies
>would go bankrupt if all cars got in wrecks at one time, or
>any other insurance company would go bankrupt if *ALL* those insured
>made claims.  Of course this is EXTREMELY UNLIKELY! 

Tim, SS is still a pyramid.  Bringing up Amway as another does not change
that.

Secondly, at least with banks and insurance companies, your money has the
oportunity to grow; insurance companies are among the largest investors
in the stock market.

Best of all, with Amway, banks, and insurance companies, nobody is forcing
you to join;  you can get the hell out when YOU want to.  With them, what
you have brought into being with your own blood, sweat, and tears in not
being forcibly taken from you.

>                           tim sevener  whuxn!orb

My opinions are my own, and do not necessarily reflect those of my employer.

David Olson
..!ihnp4!drutx!dlo