Obama on Social Security: Keep Options Open

Social Security is generally considered one of the third rails of national politics. Bush found that out when he tried to privatize it back in 2005. That is one thing Obama would not do. Private accounts are out, but he declared on Stephanopoulos this weekend that everything else is on the table. That includes raising the raise taxes, raise the retirement age and/or cut benefits.

STEPHANOPOULOS: You've also said that with Social Security, everything should be on the table.

OBAMA: Yes.

STEPHANOPOULOS: Raising the retirement age?

OBAMA: Everything should be on the table.

STEPHANOPOULOS: Raising payroll taxes?

OBAMA: Everything should be on the table. I think we should approach it the same way Tip O'Neill and Ronald Reagan did back in 1983. They came together. I don't want to lay out my preferences
beforehand, but what I know is that Social Security is solvable. It is not as difficult a problem as we're going to have with Medicaid and
Medicare.

STEPHANOPOULOS: Partial privatization?

OBAMA: Privatization is not something that I would consider, and the reason is this: Social Security, I think, is -- that's the floor. That's the baseline. Social Security is that safety net that can't be frayed, and we shouldn't put at risk.

Hotline has the political breakdown. This could leave him vulnerable to attacks from his political rivals, but he is right. Social Security needs to be tweaked in order to remain solvent for the long term. Those are the likely options. Social Security is not a current pressing concern as Obama points, but something the next president should address. It will be interesting to see if Obama or any of the other presidential contenders flesh out their policy position on the subject.