Not Gonna Happen (Until 2011)

Today Ben Bernanke told Congress that it's time to step up to the plate and deal with the coming economic doom and gloom from both Social Security and Medicare/Medicaid future liabilities being unfunded.

The headline on CNN.com is "Bernanke: Baby boomers threaten economy." This clearly puts all the blame on those ubiquitous Baby
Boomers, in typical fashion. Bernanke in fact cites two reasons for troubles ahead -- the demographic bubble caused by the post WWII boom in births, and the gains in longevity thanks to advances in medicine.

So why didn't CNN run a headline like "Bernanke: Good doctors threaten economy" or "Still Living Seniors threaten economy."

No, it's got to be the Boomers. The root cause of all that's bad in America

The irony, of course, is that it's going to be up to those Boomers in charge now (included Bernanke himself) to fix the problem.

Here's his concluding paragraph:

"To summarize, because of demographic changes and rising medical costs,federal expenditures for entitlement programs are projected to rise sharply over the next few decades. Dealing with the resulting fiscal strains will pose difficult choices for the Congress, the Administration, and the American people. However, if early and meaningful action is not taken, the U.S. economy could be seriously weakened, with future generations bearing much of the cost. The decisions the Congress will face will not be easy or simple, but the benefits of placing the budget on a path that is both sustainable and meets the nation's long-run needs would be substantial."

All of that is well and good, but nothing "meaningful" will take place until the first Boomers turns 65, in the year 2011. There will be lots of talk and promises to do something between now and then -- including during next year's election.

But trust me, there's not enough political willpower to do anything until Boomers start crossing that threshold of age 65.

Watch and see.