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Compass
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Voluntary Individual Accounts For Social Security-- What Are the Costs?
Center on Budget and Policy Priorities [Opinion] Aug. 23, 2001
Excerpt: Voluntary individual accounts would undermine progressivity and the social compact behind Social Security.... [They] involve a number of difficult and complicated administrative issues.... Experience from other countries ... especially the United Kingdom, is far from encouraging.... [They] worsen Social Security's financing problems and require larger benefit cuts within the traditional program ... Individual accounts do not produce higher rates of return when properly measured.
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