IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging IDSP 465/565: Issues in Gerontology Controversy 8: Should Age or Need Be the Basis for Entitlement?

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging Generational equity Two different meanings of generation: –1) an age specific group, such as “the elderly” or “children under age 18” –Or, 2) a historical cohort consisting of a group of people born in the same year or in a certain period (e.g., those who experienced the Great Depression or World War II) Four issues underlie generational equity: 1.Questions about the allocation of resources between older adults and children 2.Concerns about large government deficits 3.Controversies over rationing health care resources 4.Questions about the fairness of how Social Security is financed

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging Poverty Among the Old Over the past 30 years, there has been a large reduction in poverty rates among the elderly –Although the most gains in income for people were in the 1960’s and 1970’s Supplemental Security Income (SSI) – a cash benefit program for the elderly poor, blind, and disabled –SSI is a means-tested program – it is only available if your income and assets fall below a designated range

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging Poverty Among Children and Young People International comparison shows that U.S. poverty rates among children are higher than every other industrial nation in the world –This high poverty rate may be caused by family structure, unemployment, and/or declining wages –Some people also blame the declining well-being of children on the voting power of older adults Families with children today form a smaller part of the electorate than in the past

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging Taxation and Power The U.S.’s tax system has far-reaching impacts on different age groups and cohorts Many “tax breaks,” or “tax expenditures,” go disproportionately to older people with higher incomes –The elderly poor get only 2% of the benefits from tax breaks Generational accounting – analyzes how government tax and spending policies affect different cohorts –Adds up all the taxes paid to federal, state, and local governments over a lifetime, then subtracts benefits received such as Social Security, Medicare, and schooling Must distinguish between the notion of conflict between generations and competition for different public programs

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging The Least-Advantaged Older Adults How do we define “least-advantaged” among older adults? Possible answers include: –The entire older population –People above a certain age –Elders in minority ethnic groups –Older women –Rural or inner-city elderly –The physically or mentally frail –Older people who are vulnerable to abuse or neglect

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging The Least-Advantaged Older Adults (cont.) Today there are many people in their 60’s and 70’s who are healthy and active –The so-called “well-derly” cause some people to argue that disability and frailty, not chronological age, should be the basis of access to services Socioeconomic Status (SES) – a term used by sociologists to describe what is often known as “social class” Cumulative disadvantage – lower SES over the life course tends to produce cumulative disadvantage, which is perpetuated in old age

IDSP-465 Issues in Gerontology: A Life Course Perspective on Aging The Targeting Debate Cost-sharing – an approach that combines elements of both means testing and taxation The Older Americans Act (OAA) directs the aging-service network to target its services to: –“Individuals with the greatest economic or social needs, with particular attention to low-income minority individuals” But there is still debate over how universal programs such as the OAA and Social Security can properly give preference to some needy groups