By Gema G. Hernández


The president’s second inauguration speech will be the platform for the beginning of his Ownership Society Initiative. Bush’s Ownership Society in one word is the antithesis of Lyndon Johnson’s Great Society program, and while one program created the safety net so important for the poor, the frail and the disenfranchised to have some protection, the Ownership society will focus on the personal efforts and resources of the individual. If the individual is unable to become master and commander of his or her destiny the Ownership society will have nothing to offer him and not a safety net to protect his falling.

The Ownership Society Initiative has several components of which Social Security, Medicare and the role of the family are intertwined with the economic principles of supply and demand and the concept that God rewards good people. Therefore, if you happen to be frail or poor, it could be because you are not intrinsically good.

The concept of ownership is basic in a capitalistic society. It is an appealing concept to the majority of Americans. The President will capitalize on that and will present his plan to “overhaul” Social Security as an ownership proposal. Owning your Social Security account is an appealing idea, but the appeal ends once we lack the knowledge to invest in the “right” company and place our entire future on the hands of CEOs that may or may not be looking to generate a profit for its shareholders. If you want to see the future of a privatized Social Security system, ask any Chilean in their 60’s. Social Security has been privatized in Chile for the last 20 years. Chileans can tell you two things: 1) that they never knew how much they would be receiving from their private social security system until they day they actually retired, and 2) that the amount of revenue they finally got was much less than the original predictions. In some cases I was told that it was even less than what they would have received under the old defined benefit Social Security program.

Organizations like AARP and older politicians do not believe President Bush will be able to change the Social Security system because of the enormous political capital he would have to invest in changing such an important program. I humbly disagree with them. The President will change Social Security for three reasons: 1) By changing Social Security the President will be able to access the trillions of dollars in the existing Social Security Trust fund and use those trillions of dollars to pay for the war in Iraq and the expansion of the National Security program, 2) The President will change Social Security because the American corporations are waiting for the massive influx of dollars from the new Social Security private accounts to expand the economy and to create new jobs that may or may not be in this country, and 3) He will change Social Security because organizations that supposedly advocate for the elders did nothing to protect Social Security and Medicare. It is the case of doing too little too late.

Another important part of the Ownership Society is the aspect of personal responsibility. Soon the question of whether or not we want government to be responsible for our health care will be raised. In an Ownership Society the individual is responsible for his or her own health care and for paying for his medical bills. People want control over their health care options, and what better way to do that than to focus their interests in owning their own medical savings account. To facilitate the transition from Medicare to a more personal health care system, the administration will begin focusing more and more on Medical savings accounts. The medical savings accounts will provide tax deductions for the owners. For the rich this is an excellent tax deduction that will eventually promote complete self insurance. The complete transformation from Medicare to Medical savings accounts will happen at the same time the last recipient of the existing Social Security system’s defined benefit program will begin to collect his checks.

If by any chance my health fails there is always the family. The emphasis on the family comes as a way of replacing society’s contract with each other. Some families will be able to take on this responsibility not only because they want to do it but also because they are able to do it. Being able to be a full time caregiver is a luxury that not every one is in a position to do. It is sad that while the administration recognizes and honors the family as an important unit it places unbearable emotional, financial and spiritual weight on its shoulders. With the possible elimination of Older Americans Act and Medicaid programs and the transformation of Medicare and Social Security, the shoulders of our middle class and poor families would be burdened with additional responsibilities that while welcomed as an act of love and dedication could break the backbone of the same institution the administration is trying to promote.

Reaching the American Dream is an admirable goal, however, owning your social security, your medical savings account and becoming solely responsible for your future could truly detract from reaching the same Dream we are trying to pursue.