Market Economy Will Alleviate Pension Woes
The author of the article "The Baby Boomers' Vanishing Pensions," June 5, would have us believe that the economy will remain static in the face of a 40 percent drop in the number of workers per retiree.
Actually, the resulting labor shortage will increase the price of labor, causing workers to voluntarily delay retirement and employers to invest in productivity-enhancing equipment. The result: The number of workers per retiree will not drop as precipitously as a static economic model would predict and remaining workers will be able to produce enough to fund pensions for retirees.
This does not mean pension law and regulations do not need reform, but alarmist rhetoric is not the place to start.
Eric Klieber Cleveland Heights,Ohio