by Douglas Holtz-Eakin, Gordon Gray, Conor Ryan
American Action Forum
July 31, 2014
Medicare and Social Security are (still) going bankrupt. At its current pace, Medicare will be bankrupt in 2030, and Social Security will go bankrupt in 2033. Medicare is the principal driver of the United States debt. With Medicare facing unprecedented levels of cash shortfalls, Medicare Advantage benefits facing significant cut, and 14 million Americans facing the loss of their Part D plans, it’s evident that President Obama and the Affordable Care Act have failed to ensure that Medicare will be there for today’s seniors, let alone the next generation of older Americans. Projections for Social Security and Disability Insurance are equally grim. Without substantial reform, these programs will be bankrupt in less than two decades, and Americans will be chained to a debt many times the size of the debt that we face now.