(no subject)
Subject: President Bush explains his social security reform proposal
WOMAN IN AUDIENCE: I don't really understand. How is it the new [Social
Security] plan is going to fix the problem?
Verbatim response:
PRESIDENT BUSH: Because the -- all which is on the table begins to address
the big cost drivers. For example, how benefits are calculated, for example,
is on the table. Whether or not benefits rise based upon wage increases or
price increases. There's a series of parts of the formula that are being
considered. And when you couple that, those different cost drivers,
affecting those -- changing those with personal accounts, the idea is to get
what has been promised more likely to be -- or closer delivered to that has
been promised. Does that make any sense to you?
It's kind of muddled. Look, there's a series of things that cause the -- like,
for example, benefits are calculated based upon the increase of wages, as
opposed to the increase of prices. Some have suggested that we calculate --
the benefits will rise based upon inflation, as opposed to wage increases.
There is a reform that would help solve the red if that were put into
effect. In other words, how fast benefits grow, how fast the promised
benefits grow, if those -- if that growth is affected, it will help on the red.
WOMAN IN AUDIENCE: I don't really understand. How is it the new [Social
Security] plan is going to fix the problem?
Verbatim response:
PRESIDENT BUSH: Because the -- all which is on the table begins to address
the big cost drivers. For example, how benefits are calculated, for example,
is on the table. Whether or not benefits rise based upon wage increases or
price increases. There's a series of parts of the formula that are being
considered. And when you couple that, those different cost drivers,
affecting those -- changing those with personal accounts, the idea is to get
what has been promised more likely to be -- or closer delivered to that has
been promised. Does that make any sense to you?
It's kind of muddled. Look, there's a series of things that cause the -- like,
for example, benefits are calculated based upon the increase of wages, as
opposed to the increase of prices. Some have suggested that we calculate --
the benefits will rise based upon inflation, as opposed to wage increases.
There is a reform that would help solve the red if that were put into
effect. In other words, how fast benefits grow, how fast the promised
benefits grow, if those -- if that growth is affected, it will help on the red.