The New Challenge

Now that we have decided to start the health care reform, we must now focus on a new set of challenges before us. The baby boomer generation is now getting older and sooner or later most will utilize social security. Now in case you aren't clear about what a baby boomer is, they are mostly considered as someone born during the demographic post-World War II baby boom. There were 78.2 million estimated number of baby boomers as of July 1, 2005 according to the United States Census Bureau , http://www.census.gov/Press-Release/www/releases/archives/facts_for_features_special_editions/006105.html , and let's say it would have probably declined to about 75 million in 2009. This is a startling figure for us because of the fact that social security is very expensive for the government to upkeep for 75 million people. The annual cost of social security benefits represented 4.4 percent of GDP in 2008 and is projected to increase to 6.2 percent of GDP in 2034, and then decline to about 5.8 percent of GDP by 2050 and remain at about that level according to the Social Security Online website, http://cc.bingj.com/cache.aspx?q=approximate+social+security+cost&d=4950345029059122&mkt=en-US&setlang=en-US&w=972102d3,1c437d0a . Basically this means that social securtiy cost will rise about 1.8 percent from 2008 to 2034, then it will decrease 0.4 percent from 2034 to 2050. All in all there is an increase in the cost and with the pilling deficit from bailouts to the stimulus packages, our government continues to spur the inflation and increase the debt that future generations are held responsible.