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Forget the $250 Checks, Obama: Say No to Grandma

To cut deficit, we have to cut benefits to seniors

By Kevin Spak,  Newser Staff

Posted Oct 28, 2009 8:35 AM CDT

(Newser) – Economists are none too impressed with Barack Obama's proposal to send each senior a cool $250, and David Leonhardt can see why. The over-65 set has weathered the recession better than anyone—many of them purchased real estate well before the housing bubble burst, and few work in the most-battered industries, like construction—which makes the decision to dole out $14 billion to them "pure pandering,” a co-director of the Tax Policy Center tells Leonhardt.

Social Security payments won’t increase this year, but seniors’ purchasing power has already increased due to deflation, he writes in the New York Times; their median income rose 3% from 2000 to 2008, while households headed by those 25 to 44 saw a 7% drop. The real reason Obama’s cutting them a check is because so many seniors vote. But if Washington’s at all serious about cutting the deficit, at some point we must cut benefits to seniors. “If the long-term issue is entitlement reform,” says one Michigan economist, “the fact that the political system cannot say no to $250 checks to the elderly is a bad sign.”

In this Feb. 11, 2005 file photo, trays of printed social security checks wait to be mailed from the U.S. Treasury's Financial Management services facility in Philadelphia.
In this Feb. 11, 2005 file photo, trays of printed social security checks wait to be mailed from the U.S. Treasury's Financial Management services facility in Philadelphia.   (AP Photo/Bradley C Bower, File)
President Barack Obama participates in an AARP tele-town hall on health care, Tuesday, July 28, 2009, in Washington.
President Barack Obama participates in an AARP tele-town hall on health care, Tuesday, July 28, 2009, in Washington.   (AP Photo/Haraz N. Ghanbari)
President Barack Obama participates in an AARP tele-town hall on health care, Tuesday, July 28, 2009, in Washington.
President Barack Obama participates in an AARP tele-town hall on health care, Tuesday, July 28, 2009, in Washington.   (AP Photo/Haraz N. Ghanbari)
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COMMENTS
Showing 3 of 31 comments
Cher
Oct 29, 2009 6:18 AM CDT
Excuse me "habits".
Cher
Oct 29, 2009 6:15 AM CDT
How would you know about the seniors spending habbits? Thank God we are still free to spend the way we want to. That will be taken away from us by this Socialist BHO if he get the chance. Remember he want to be ruller of the world. He could give a rats a** about anybody else.
Cher
Oct 29, 2009 5:58 AM CDT
Obama hasn't worried about the seniors probably since his "typical white grandmother" died. I would be willing to bet you that all Obamas in-laws are on the same health care plan that he and all of Congress is on. It's called the "cadillac plan". Those people don't care what they hand down to us. We need to get rid of everyone of them. I would vote for term limits if I could. Those like Ted Kennedy that think it is a life time job would get a big surprise from me. We need new leaders that will remember from where they came.

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