I will throw out here this example of a privatized retirement system.

Sure, many countries of the world have privatized and not one of them
is working well but people say those were not American plans.  Here in
Texas several counties opted out of Social Security decades ago when
they were given the opportunity to do so .  How well did this work for
those workers?  Terrible say the workers, great says the underwriter
of the plan.

<cut>
"These plans won't work for most people and would destroy Social
Security for the vast number of Americans who depend on it," said Eric
Kingson, a professor of social work at Syracuse University who has
studied the Galveston plan.

"What we can learn from the Galveston experience is who will win and
who will lose if we move toward this privatization plan," Kingson
added. "People who work long and hard at relatively low wages get a
proportionately higher benefit from Social Security, and that's
because its purpose is to provide a basic set of protections for
Americans."

The bottom line for many Galveston County retirees is the size of
their check every month. And some say they have been bitterly
disappointed.

"I get around $460 per month now, but under Social Security, I would
have gotten $1,000," said Joyce Longcoy, who retired in 1998 after 23
years working for Galveston County. "They are putting this up to be a
model for the rest of the country. Some model."
<end>

This $460 per month has no annual cost of living increase and used a
higher tax rate .

http://tinyurl.com/6z84v

Gary Denton
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