State pension plans are primarily funded (in order of what comprises the most) by 1) the government 2) investments and 3) employee contributions.

Pay as you go is about employee contributions, which is typically the smallest pot being contributed. I don’t think you know what you’re talking about.

When did I ever say the problem goes away? I am saying it is not a Ponzi scheme. You were saying it is a Ponzi scheme. Don’t move the goalposts here.

This is a fundamental misunderstanding of how these funds work.

The goal is not to pay people with the money from new people paying into the pot. They invest the money and then the pot grows and that money is used to pay out. When the pot is not growing enough - whether because investments aren’t doing well enough, or you designed a you designed an bad system where people can withdraw from it for too long, or any other many possible issues - then yes you functionally end up dipping into the money given by new people, but this is not how it was designed to be used.

You are acting like this is a one-to-one system where you just put money in, then you get money out later, and all of the money given out is 100% the money that people put in in the first place with no intention of growing that money or finding a sustainable way of disseminating it long-term.

Mismanagement/poorly built systems are not the same as Ponzi schemes. Unless you think, I don’t know, US Social Security is also a Ponzi scheme?

That’s still not a Ponzi scheme even if it isn’t sustainable.

deleted by creator

This is a flippant and unproductive comment that ignores the fact that we have a culture of passing down what you have to your children so that they can have a better life than you had - something many of these boomers benefitted from.

I get not everybody is entitled to it but it’s kind of considered a major goal for a lot of Americans to do that for their children. Which means it reflects poorly on the boomers who have said “nah fuck you” after also pillaging our future for their wealth.