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There is a debate on the privatization of Social Security. Do you believe privatizing Social Security would be more efficient and beneficial for the country and the public than keeping it as a governmental program?

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Social Security is a benefit system in the United States of America. Funded by taxpayers, it allows people to receive regular payments when they retire or if they can’t work because of a disability. It also ensures financial stability for any dependents in case a person dies in service.

When thinking about the advantages of privatizing Social Security, you should first of all consider the financial impact this would have on the government: without doubt, these savings would be the main benefit for the government. Currently, Social Security is run and organized by the government, which means that the government has to pay employees to run the system. By privatizing Social Security, the cost of paying these employees and any other costs arising through this would disappear. This would free up substantial funds that the government could then us in a different way to benefit the country.

However, as a negative argument, you could argue that privatizing Social Security might lead to further social discrepancies. Currently, Social Security is funded through tax, where everybody pays a certain amount of tax on their income (6.2%) up to a certain threshold of income (currently $137,000). Also, the employers add a percentage on top of this (6.2%). If Social Security were to be privatized, it would presumably not be funded by taxes any longer.

Therefore, as a private company would mainly have financial gain as their interest, Social Security might no longer require everybody to pay the same rate, as it would be in the company’s financial interest to allow people to pay more if they wanted to. This might mean that rich people could pay in more money in order to receive more money upon retirement, and poor people might only be able to pay the very minimum, thus receiving less money than others upon retirement. By turning Social Security into a business, equal treatment of people of all social backgrounds might no longer be secured and the poor might be disadvantaged as a result.

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