1. Economic Crisis Federal Budgets and Public Policy May 15, 2009

2. Annual Reports Both Medicare and Social Security costs are projected to grow substantially faster than the economy over the next several decades, but tax income to the HI and OASDI Trust Funds will not http://www.socialsecurity.gov/OACT/TRSUM/index.html Income and Cost Rates (Percentage of Taxable Payroll)

3. Medicare http://www.socialsecurity.gov/OACT/TRSUM/index.html Medicare Cost and Non-Interest Income by Source as a Percent of GDP

4. President’s Budget

5. Social Security Number of OASDI Beneficiaries Per 100 Covered Workers The number of covered workers per OASDI beneficiary, which was about 3.2 in 2008. This ratio declines under all three alternatives because it is the inverse of the ratio of beneficiaries to workers. http://www.ssa.gov/OACT/TR/2009/IV_LRest.html#179669

6. Discussion How is the current economic crisis affecting Social Security and Medicare? What measures are taken by the Obama administration to address Social Security and Medicare problems? Why the proposed measures go contrary to the Keynesian stimulus plan? http://www.whitehouse.gov/blog/