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Bush, George W.

Bush Shifts Focus on Social Security Reform Amid Waning Support

Strategic Insights

— 1 min read

As President George W. Bush nears the end of a 60-day push to build public approval for his Social Security reform plan, he is expected to shift his attention to guaranteeing the long-term solvency of the system. This move comes as public disapproval of his plan grows, with 64% of Americans disapproving of the way he is handling Social Security and 51% opposing his plan for private accounts. The president may signal his willingness to reform the system by reducing benefits for wealthy people, increasing the retirement age, and trimming incentives for early retirement.

Key Takeaways:

  • President Bush's Social Security reform plan faces growing public disapproval, with 64% of Americans disapproving of how he is handling the issue and 51% opposing his plan for private accounts.
  • The ABC News-Washington Post poll found that support for Mr. Bush's reforms declined to 41% in mid-March, a significant drop from previous polls.
  • The White House is expected to move away from personal accounts, with Scott McClellan saying Mr. Bush will discuss "more specific ways about how we move forward on a solution to permanently fix Social Security".
  • Possible approaches to fix Social Security include raising the retirement age, raising the cap on income subject to the Social Security tax, and linking benefits to the growth in prices rather than wages.
  • Chairman Charles Grassley of the Senate finance committee stressed the importance of sustainable solvency over 75 years in any reforms.
  • The panel discussed other domestic issues, including rising petrol prices and the ethics allegations against Tom DeLay, the House majority leader.

Statistics:

  • 64% of Americans disapprove of how President Bush is handling Social Security (ABC News-Washington Post poll).
  • 51% of Americans oppose Mr. Bush's plan for private accounts (ABC News-Washington Post poll).
  • 41% of Americans supported Mr. Bush's reforms in mid-March (ABC News-Washington Post poll).
  • 75 years is the benchmark for sustainable solvency in any Social Security reforms (Senate finance committee).

Sources:

  • ABC News-Washington Post poll
  • White House spokesman Scott McClellan
  • Bloomberg report
  • Senate finance committee hearing
  • Washington Post article

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