Social Security to See Payout Exceed Pay-In This Year

3/27/2010

The bursting of the real estate bubble and the ensuing recession have hurt jobs, home prices and now Social Security. This year, the system will pay out more in benefits than it receives in payroll taxes, an important threshold it was not expected to cross until at least 2016, according to the Congressional Budget Office.

Keeping the Healthcare Mess in Perspective. Obamacare should have never happened. It’s an irresponsible piece of legislation that will do little to lower health cost; in fact, it could likely increase them instead. But as bad as it is, it’s nothing compared to our unfunded social entitlement programs.

What Blockbuster Video Can Teach Us About Economics. Of course one hopes that Blockbuster's present executive team can right the ship--or reinvent the company altogether. But whatever the result, Blockbuster reminds us that business failure, far from something government's should deter, is a cleansing economic agent that elevates the needs of consumers while making room for new businesses and economic rebirth.

Portugal’s credit grade was cut by Fitch Ratings for the first time, underscoring growing concern that Europe’s weakest economies will struggle to meet their debt commitments as finances deteriorate. The Portuguese and Greek economies may face a “slow death” as they dedicate a higher proportion of wealth to paying off debt and investors drive up government borrowing costs.

More than half of U.S. borrowers who received loan modifications on delinquent mortgages defaulted again after nine months, according to a federal report. U.S. homeowners are struggling to make payments as depressed housing prices leave them owing more than their properties are worth. About 24 percent of properties with a mortgage were underwater in the fourth quarter