So Bernie Madoff got away with all your retirement? I know how you feel. I keep paying into teacher retirement and it seems I won't be able to pull any benefits from it by the time I retire, if I am ever even allowed to retire.
Thanks to How Stuff Works' website and podcast, I think I now have a good handle on how to separate good investments from Ponzi schemes.
A Ponzi scheme relies on getting new investors to support the old investors' withdrawls. Hey, wait a minute. Isn't that how Social Security is supposed to work? Isn't that how Teacher Retirement works?
A Ponzi scheme is destined to fail according to Howstuffworks. Does that mean these systems are also destined to fail? When they fall through, what happens to all those who'd been paying in?
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment