Obama’s Plan to Shield Groups From Chained-CPI Proves It Is a Con
If chained-CPI was merely a technical fix or a more accurate measure of inflation, it should be applied equally across the entire federal budget. This is not what Obama is proposing. Instead he plans to “shield” many groups from what he claims is only a technical adjustment. From CBS News:
White House Press Secretary Jay Carney called the Social Security benefit change a “technical adjustment” and described it a good-faith gesture to Republicans seeking new entitlement savings.
Senior administration officials who briefed reporters on budget details said Mr. Obama would shield low-income senior, veterans and the very elderly from the change in Social Security inflation adjustments. Fifteen million retirees receive Social Security. The average yearly payment is just over $15,000.
This proves that chained-CPI is just a con to cut Social Security and increase middle class taxes while trying to avoid responsibility.
If chained-CPI is actually a more accurate measure of inflation, there would be no need to shield anyone from the change. If you are using an accurate measure of inflation everyone currently on a government program that has annual cost of living increases should see no change in the purchasing power of their benefits. That is the whole point of having cost of living adjustments. Their benefits should remain stable.
By admitting that some vulnerable people will need to be shielded from the chained-CPI, the administration is acknowledging it is a cut. You need to protect people from a cut not a technical correction. Yet instead of having the decency to be honest to the American people, Obama is promoting a poorly designed cut so he can hide behind talk of technical corrections.