- - Tuesday, April 1, 2014

I don’t contest the unfunded liabilities of $205 trillion over the next 75 years quoted in “Millennials, the Social Security sucker generation” (Web, March 28). There is no way for this number to be satisfied, and the only result will be a benefit reduction in the future.

For today’s retirees, the status quo is fine. For young people, it is a looming disaster.

Everything about the current fiscal situation is known and has been written about endlessly for at least two decades. Before that there was plenty of criticism of the financial structure of entitlement programs.

Those programs lacked any kind of actuarial basis, and had no long-term financial structure that would allow for sustainability through whatever demographic or economic conditions transpired. These programs are pure political constructs; they are not insurance in any classical sense. There is no risk pool, no actuarial relationship between premiums and claims, no contract, no trust of marketable assets to pay claims.

On top of the existing entitlement mess, the Democratic Party has now seen fit to nationalize the health care industry.

Insurance companies have been converted into heavily regulated tax collectors. They merely collect money from young, healthy people and transfer it to favored voting constituencies. This is not insurance; it is just another social-welfare program placed on the backs of the young and whoever remains in the middle class.

Social-welfare states do not reform. They just expand to the breaking point and then implode. Young people need to realize this and begin to develop a Plan B. Life is not fair, but it is what you make of it.

SAMUEL BURKEEN

Reston