That is the logical and wise answer. HOWEVER, not the "American way" since nothing down, no interest for a year puts middle income folks in new vehicles, new boats, new campers, annual vacations to exotic places, new rifles, new clothes, and on and on with monthly payments ... leaving no "extra pay".
https://onevoiceunited.org/wp-content/uploads/2021/10/Wellness_White_Paper_Edited_OCT17_2021.pdf See page 15
www.propublica.org
If you truly believe this is the "American way" and not just stereo typing a segment of human society, why continue to reward the irresponsible behavior?
Do you honestly think there’s a whole lot of extra pay in law-enforcement, fire departments or EMS?
Or most any other blue collar job.
As I look around it is distinctly the perspective.
I have very little influence on the behavior or the reward. But more generally, it's the intent to assist those who can't save for old age because they are living from paycheck to paycheck just to afford the basics. But BHR, you already know the answer to your questions.
I believe the phrase is "morality can't be legislated"...although the other coin side is that immorality should not be encouraged nor rewarded.
The reality is any type of tax is structured to influence economic decision making and behavior. Also the reality, people don't make economically rationale decisions. Any changes to SS have to be done with that in mind. I think there have been some very good ideas on changes here, and usually opposed by the "bootstrap" crowd.
The nanny state is 34 trillion in debt and growing not to mention it's unfunded liabilities, yet it continues to believe individuals cannot be trusted to make their own financial decisions. This is not sustainable.
Interestingly, the Economist (or WSJ, can't remember which), recently wrote about how much of his work hasn't panned out with hindsight. Great for cocktail hour anecdote sharing, but very low statistical predictive value.
I don't think any economic model works well in predicting anything. Kahneman told us more about the biases in ourselves that anything useful economically. We see it today, like anchoring on our grocery prices or confirmation bias from some sticking with their first opinion even if the data changes. Optimism biases, expert biases, not understanding sunk costs, taking gains too fast and not taking losses fast enough, are all things that people can apply to their daily lives. Unfortunately, the majority just go to Facebook and rant with everyone who agrees with them.
I dont disagree with your sentiment or logic.
You had me at, 'people are irrational' . . .
That's the challenge. To have enough incentive in the system so that folks do the necessary work and make the necessary innovations to keep society going, while provided a baseline for those with poor luck, poor abilities, poor circumstance and/or poor choices sufficient that we prevent a raucous and starving underclass. And for those of you who have faith, I don't recall "bootstraps" being a big teaching in the New Testament.
Public service is a sacrifice individuals willingly make to…serve the public. A first responder risks having mental and physical disabilities, suicide, a shortened or nonexistent time in retirement, higher divorce and substance use rates, being misunderstood, alienated or marginalized by the general public, scrutiny from the media, politicians, and the very persons they are trying to serve and protect. Wear a body camera and 2 of every 3 people you wrestle to put cuffs on now say “I can’t breathe.” Any surprise why this career choice has the lowest amount of interest now than in generations?
I’m not religious so I have no dog in this fight, but I know enough to realize the Bible can be easily cherry picked to suit any occasion. So your lack of biblical “bootstraps” can be countered with 2 Thessalonians 3:10. If a man won’t work, then let him not eat.
The solution is to avoid cherry picking at all. Rather, read the four gospel's in their entirety and get the big points -- bootstraps not one of them -- more of an "eye of the needle" message when viewed in whole.
I don’t cherry pick, I don’t believe any of it. My point is that it’s a slippery slope to invoke the Bible. And your opponents will quote what they need to. It happens all the time throughout history, such as during slavery times. To the financial point, I agree with you for the most part. Society needs a back-up system in place.
