Chile’s Private Social Security Prospering

by Bob Adelmann
The New American

As a quiet example of how privatizing Social Security works in the real world, Chile’s 30-year experiment is succeeding beyond expectations. Instead of running huge deficits to fund the old “PayGo” system, private savings now exceed50 percent of the country’s Gross Domestic Product.

Prior to May 1, 1981, the Chilean system required contributions from workers and was clearly in grave financial trouble. Instead of nibbling around the edges to shore up the program for another few years, José Piñera, Secretary of Labor and Pensions under Augusto Pinochet, decided to do a major overhaul of the system:

We knew that cosmetic changes — increasing the retirement age, increasing taxes — would not be enough. We understood that the pay-as-you-go system had a fundamental flaw, one rooted in a false conception of how human beings behave. That flaw was lack of a link between what people put into their pension program and what they take out….

So we decided to go in the other direction, to link benefits to contributions. The money that a worker pays into the system goes into an account that is owned by the worker.

The system still required contributions of 10 percent of salary, but the money was deposited in any one of an array of private investment companies. Upon retirement, the worker had a number of options, including purchasing an annuity for life. Along the way he could track the performance of his account, and increase his contribution (up to 20 percent) if he wanted to retire earlier, or increase his payout at retirement.

How well has the system performed? John Tierney, a writer for the New York Times, went to visit Pablo Serra, a former classmate and friend in Santiago a few years ago, and they compared notes on how well their respective retirement programs were doing. Tierney brought along his latest statement from Social Security, while his friend brought up his retirement plan on his computer. It turned out that they both had been contributing about the same amount of money, so the comparison was apt, and startling, said Tierney:

Pablo could retire in 10 years, at age 62, with an annual pension of $55,000. That would be more than triple the $18,000 I can expect from Social Security at that age. OR

Pablo could retire at age 65 with an annual pension of $70,000. That would almost triple the $25,000 pension promised [to me] by Social Security starting a year later, at age 66. OR

Pablo could retire at age 65 with an annual pension of $53,000 and [in addition receive] a one-time cash payment of $223,000.

Tierney wrote that Pablo said “I’m very happy with my account.” Tierney suggested that, upon retirement, Pablo could not only retire nicely, but be able to buy himself a vacation home at the shore or in the country. Pablo laughed it off, and Tierney wrote: “I’m trying to look on the bright side. Maybe my Social Security check will cover the airfare to visit him.”

According to Investors Business Daily, the average annual rate of return for Chilean workers over the last 30 years has exceeded 9% annually, after inflation, whereas “U. S. Social Security pays a 1% to 2% (theoretical) rate of return, and even less for new workers.”

As expected, the capital accumulated in these privatized accounts have generated substantial growth in Chile’s economy. As noted by Wikipedia, “Chile is one of South America’s most stable and prosperous nations, leading Latin American nations in human development, competitiveness, income per capita, globalization, economic freedom, and low perception of corruption.” [Emphases added.]

High domestic savings and investment rates helped propel Chile’s economy to average growth rates of 8% during the 1990s. The privatized national pension plan (AFP) has encouraged domestic investment and contributed to an estimated total domestic savings rate of approximately 21% of GDP.

This was anticipated by Piñera when the plan was originally designed and implemented in 1981. In reviewing the success of the plan after just 15 years, Piñera said, “The Chilean worker is an owner, a capitalist. There is no more powerful way to stabilize a free-market economy and to get the support of the workers than to link them directly to the benefits of the market system. When Chile grows at 7 percent or when the stock market doubles … Chilean workers benefit directly, not only through high wages, not only through more employment, but through additional capital in their individual pension accounts.”

All of which should resonate with American workers who have been forced to contribute to a failing Social Security system for years. And yet when given the opportunity to support any sort of privatization, as during the Clinton and Bush administrations, the idea gained little traction. And now that Rep. Paul Ryan’s “Road Map” offers the chance for those same workers to contribute just one-third of their Social Security taxes to similar private accounts, the idea continues to fall on deaf ears.

However, according to Rasmussen Reports, that may be changing. Nearly half of those polled now correctly understand ‘that making major long-term cuts in government spending will require big changes” in Social Security, Medicare, and defense. That figure, adds Rasmussen, “suggests a growing awareness of budgetary realities among the American people.”

To privatize Social Security makes nothing but sense, as in dollars and cents. The ownership of private property has always propelled economic prosperity, higher wages and improved standards of living. Only those whose goals are to impoverish the American worker and reduce his ability to manage his own affairs and control his own future would resist such an attractive alternative. As noted by Piñera,

This is a brief story of a dream that has come true. The ultimate lesson is that the only revolutions that are successful are those that trust the individual, and the wonders that individuals can do when they are free.

UN warns climate change could trigger ‘mega-disasters’

The same people who brought us Anthropogenic Global Warming, Climategate, Sustainability and the toxic Green Revolution now warn us about mega-disasters to come due to Climate Change.  Should we believe them?  Should we even pay attention to them?  Yes, but not for their science.  Even knowing all the history of the planet’s climate, they weren’t able -or did not want to- tell us the truth about the Earth’s state of affairs.  Can they be truthful about it now?  NO.  We should be concerned about their warnings because these same globalists are the owners of Laser Weapons and Weather modification technology to make any disaster happen.

AFP

Weather-related catastrophes brought about by climate change are increasing, the top UN humanitarian official said Sunday as he warned of the possibility of “mega-disasters”.

John Holmes, the UN Under-Secretary General for Humanitarian Affairs, said one of the biggest challenges facing the aid community was the problems stemming from changing weather patterns.

“When it comes meteorological disasters, weather-related disasters, then there is a trend upwards connected with climate change,” Holmes, who is in Australia for high-level talks on humanitarian aid, told AFP.

“The trend is there is terms of floods, and cyclones, and droughts.”

Holmes, who is the UN’s emergency relief coordinator, said it had been a tough year due to January’s devastating earthquake in Haiti, which killed more than 250,000 people.

He said while earthquakes, such as the 7.0-magnitude quake which levelled the Haitian capital Port-au-Prince, were random, weather-related natural disasters were increasing in number and scale.

“It’s partly the very obvious things like the number of cyclones and the intensity of the cyclones, and the amount of flooding,” he said.

“But is also in slightly more invisible ways — in Africa with drought spreading, desertification spreading.”

Holmes said officials were particularly concerned about places where a combination of factors — such as large populations, or likelihood of earthquake, or susceptibility to rising sea levels — made them more vulnerable.

“One of things we worry about is mega cities could produce, at some point, a mega disaster,” he said.

“Cities like Kathmandu for example, which sits on two earthquake faults, where a large earthquake will come along… and the results could be catastrophic.”

Holmes said while some countries were well-prepared for disaster — such as Chile which was hit with a massive 8.8-magnitude earthquake in February which left 520 people dead — others such as Haiti were less able to manage.

“That’s one of the reasons we want to focus on not just how we respond to disaster, we need to do that, but how you reduce the impact of those disasters before they happen,” Holmes said.

In Haiti, the situation remained serious, he said, with some 1.5 million people living in makeshift shelters and little prospect of this changing soon.

“There are real concerns about how vulnerable people still are, despite all the efforts that have been made,” he said.

Holmes said the need for humanitarian aid was rising faster than resources were available, particularly given the long-running conflicts in areas such as Sudan’s Darfur and the Democratic Republic of Congo.

At the same time, climate change would likely set in chain migration due to drought or rising sea levels or conflicts due to a scarcity of water or arable land in coming years and these would place more pressure on funds.

“So all these things are going to create more problems for us, and we’re really just coming to grips with what the consequences might be,” Holmes said.

“And you can construct some extremely scary scenarios for yourself without too much trouble.

“For example, about what the effect might be of glaciers melting in the Himalayas. Now we don’t quite know whether that’s happening, or will happen, or not. But if it did, what would the effect be on the major river systems of southern Asia?”

Holmes said while a decade ago, climate change was not on officials’ radars, “now it’s on everybody’s agenda.”

“Climate change for us is not some future indeterminate threat, it’s happening in front of our eyes,” he said. “We can see it.”

UNESCO continua robando tierras en Costa Rica

Por Luis R. Miranda
The Real Agenda
Junio 3, 2010

El derecho a tener propiedad privada está, lenta pero seguramente, llegando a su fín.  Muchos de los parques nacionales y reservas

La Reserva de la Biosfera en Costa Rica incluye volcanes como el Poás y el Irazu.

biológicas que se mantienen alrededor del mundo con el pretexto de proteger la naturaleza han pasado de estar en manos de los ciudadanos y los países, a ser propiedad de las Naciones Unidas.  Esta iniciativa se propuso y fue adoptada bajo los escritos de la Convención de Biodiversidad de la ONU, la cual roba los derechos totales de propiedad a los ciudadanos de cada nación y la pasa a manos de organizaciones supranacionales.  Recientemente, la ONU, a través de UNESCO aumentó la extensión de tierras destinadas y consideradas como parte de la reserva de la biosfera en le Valle Central de Costa Rica.

La definición de un territorio en parte o en su totalidad como Reserva de la Biosfera, significa no solo que ese territorio no pertenece más al país donde está ubicado, sino que también deja en manos de la UNESCO y la ONU el tipo de desarrollo que puede ser permitido y la extensión de tierras que serán destinadas a ese desarrollo.  Según relata la Agenda 21, el objetivo es limitar cada vez más el territorio disponible para que las poblaciones puedan plantar cultivos, o desarrollar proyectos habitacionales, entre otros.

Recientemente, la agencia de noticias AFP reportó que la UNESCO aumentó el territorio considerado como de Reserva de la Biosfera en Costa Rica, una nación muy conocida por su protección del medio ambiente y el uso racional de los recursos naturales.  “La Unesco aprobó hoy la ampliación de 650.000 hectáreas de la reserva de la biosfera de la Cordillera Volcánica Central de Costa Rica. Esta reserva estaba inscrita en la lista del Consejo Internacional de Coordinación del Programa sobre el Hombre y la Biosfera (MAB) desde 1988. Lo que hace que este lugar se integrara dentro de la Red Mundial de Reservas de la Biosfera (WNBR).” Desde luego, el manejo de las tierras se dirige de acuerdo a las medidas establecidas bajo los acuerdos mencionados arriba, y estos acuerdos son escritos y controlados por la ONU.

El bosque tropical húmedo de Costa Rica es ahora propiedad de las Naciones Unidas.

Según la AFP, la ampliación del área de reserva de la biosfera, quintuplica su superficie y alberga una población cercana a los tres millones de habitantes.  Será que al ser estos territorios ahora propiedad de la ONU, también lo son las personas que ahí habitan?  Bueno, al parecer sí.  La AFP relata que la amplaición incluye la ciudad capital de Costa Rica, San José, por lo que cualquier proyecto de desarrollo o reorganización deberá primero ser aprobado por la UNESCO antes de ser implementado por el gobierno de Costa Rica o las autoridades locales en la provincia.  Mucha de las políticas de conservación, como se sabe, se desprende de la ilógica y enfermiza idea que nuestros recursos deben ser administrados por globalistas para que las ciudades y los países puedan tener una mejor gestión sostenible.  En realidad, lo que políticas como estas permite, es el control centralizado de las regiones más ricas del planeta por sus recursos naturales y su patrimonio cultural.

No habría ningún problema en conservar los recursos si estos se mantuvieran en manos de los ciudadanos y los países, sin embargo la ONU promueve la visión de que esta organización y no los propios países, debe decidir que se hace con los recursos ajenos.  En este momento, existen 564 reservas situadas en 109 países. Según la propia UNESCO, los espacios protegidos deben ser usados para la experimentación, lo cual incluye la introducción de especies foráneas que en muchos casos destruyen la misma biosfera que según ellos se pretende conservar.  De todos es conocido que la ONU controla, hoy más que nunca,  grandes cantidades de los recursos terrestres de agua dulce y marinos.  “Las Reservas de Biosfera son, por lo tanto, laboratorios del desarrollo sostenible que permiten obtener enseñanzas sobre el mismo”, indica el comunicado de la UNESCO.

Pero el robo de propiedades no se limita a Costa Rica.  Según el comunicado de la UNESCO, la reserva Araucarias de Chile, la cual ha multiplicado en 12 veces su extensión inicial desde que fue clasificada como reserva de la biosfera es ahora parte de la red administrada por la ONU.  Al igual que en Costa Rica, esta reserva está situada en una cadena volcánica; la meridional de los Andes en la parte central del sur de Chile.  La UNESCO añadió 13 nuevos espacios en 15 países de diversas partes del mundo a la Red Mundial de Reservas de la Biosfera. Tres de estas reservas están en el continente africano Zimbabwe y Etiopía, que se integran por primera vez en esta lista mundial.

La mayoría de las reservas encontradas en América Latina están en México, Nicaragua y Perú.  La reservas de México son Nahá-Metzabok, ubicada en el sudeste de México; la reserva Los Volcanes, que abarca al Popocatépetl, y la reserva de las Islas Marías, que consideraron un “vivero de especies endémicas”.  Los mexicanos cuentan con 40 reservas en esta Red Mundial, según subrayó la delegación mexicana.

International Action to arrest Henry Kissinger

Sovereign Independent

Henry Kissinger has an International Arrest Warrant out for him and an attempt is made to enforce it in Four Seasons Hotel DublinkissingerIreland where he was staying 8th May 2010.

The annual Trilateral conference headed up and attended by David Rockefeller was held in the hotel on the 7th and 8th May.

This secretive group prepare the way for the major (also secretive) Bilderberg meeting in Barcelona Spain June 2010.

It seems that Henry Kissinger as Rockefeller’s right hand man had to be at the meeting even though there existed an International arrest warrant from France and Spain who wish to charge him with war crimes from the Chile war. The Spanish and French say Henry Kissinger is implicated in the death of French and Spanish in the war in Chile.

A delegation of Irish and some other nationalities asked the Irish Police force (Garda) to arrest Henry Kissinger who was resident in the hotel on foot of the warrant.

Later the Police/Garda forces lame excuse as they processed the arrest warrant was they were blocked due to the fact the Irish Department of Foreign Affairs were required to process the arrest warrant and that office is closed on weekends.

International Criminals have free reign on weekends in Ireland.

Therefore Henry Kissinger escaped Sunday morning at 11am probably with a police escort to the airport.

The Special Branch (political police of the Irish state) followed some of this group of protesters to a pub and later that night harassed them for the cameras they had. No cameras or film was lost but it shows that the Irish government conspired to protect Henry Kissinger from arrest breaking all EU laws of extradition.

The good news is that the protest group were able to use loud speakers to project shows like Alex Jones infowars.com and Mike Riveros whatreallyhappened.com into the hotel nearby thereby letting the NWO know the world including Ireland has woken up to the NWO.