This diatribe bestowed upon Rep. Raul Grijalva on CNBC, which has become Fiscal Cliff TV, is really priceless, with the anchor accusing Grijalva of tanking the market because he refuses to cut benefits for poor people and seniors. The means testing angle is really a joke here, too. Medicare is already means-tested. To means-test it more, in a way that will actually capture enough revenue to matter, you would have to dip into the middle class to make the math work. Similarly, this idea that this is the “wealthiest generation of retirees in history,” when they just suffered a financial crisis and the stripping of their wealth right before their retirements, is ridiculous.
In reality, we cannot be secure enough in the long-term projections about Medicare and Medicaid to take a hacksaw to the benefits today.