EH.Net Mailing List Archive: SocSec

[SocSec] PE ratio of 100 to have a 6.5 percent return on PRA

Biggs, Andrew (Andrew.Biggs at ssa.gov)

Tue Feb 1 15:01:01 EST 2005

The Social Security Advisory Board put out a paper in 2001 on this =  
subject,  
featuring contributions from Peter Diamond, John Shoven and John =  
Campbell,  
with an additional section from SSA's chief actuary explaining their  
approach and rationale for equity return projections. The general =  
subject  
matter is close to what Dean Baker has been looking at.  
  
The paper is available at this link:  
  
http://www.ssab.gov/NEW/Publications/Financing/estimated%20rate%20of%20r=  
etur  
n.pdf   
  
Best,  
  
Andrew G. Biggs  
Associate Commissioner for Retirement Policy  
Social Security Administration