ge would hurt those who are forced by poor health or lack of employment opportunities to retire before 65. The law already provides for an actuarial reduction in benefits of 20 percent for those who retire at age 62; this reduction will rise gradually to 30 percent with the scheduled increase in the normal retirement age to 67. Increasing the retirement age beyond 67 would reduce the age 62 benefits further still.Fixing the system now will cost less than waiting. Principles for privatizing part of the system are the following: the progress of the existing Social Security system should be preserved, reform should offer long-run solvency for the system, reform should improve equity between participants, should try to increase economic efficiency by increasing the link between contributions and benefits, and administrative costs should be minimized. As Alan Greenspan has pointed out, the economic benefits of privatization of Social Security are potentially enormous. Privatizing part of the system, however, could hurt the current retirees. In privatizing part of the system, no one should be forced into a system of personal retirement accounts. I am in favor of privatizing part of the system. People who do not work to pay for the current retirees should not be able to Shah 4receive Social Security benefits when they retire. Privatizing the part of the system would only work if the reforms are determined and announced as soon as possible. ...
