Dude, Managing my Retirement Fund is Like, Way Too Much Stress

In this post on Social Security reform at Powerline (Time blog of the year, congrats guys) they take as a starting point a Sabastian Mallaby article in the WaPo who says:

Privatizing social security would increase stress levels, says Mallaby, because determining where to invest one's retirement money entails making tough choices and taking risks. Thus, Mallaby believes that many, perhaps even most, people would prefer to have the government handle their social security funds as it does now than to "agonize over health stocks vs. Asian bonds."

In this we see two things that characterize liberals and progressives:  "1) distrust of individual decision-making and 2) willingness to accept much less wealth in return for more certainty.  By the way, I have no particular problem with #2 when this decision is made on an individual level.  However, I do have a problem when politicians make this decision at a societal level.  As regards Social Security, I have no problem with people being offered the "let the government continue to keep your money" option as long as it is voluntary.  The Powerline guys have other good comments, read the whole thing.

By the way, I will take a moment for a bit of "I told you so" here.  This "capitalism is too stressful for us dude" attitude is entirely consistent with what I said about progressives and capitalism here.


Here is a nice post on the same topic at Cafe Hayek.