Social Security’s ‘Chained COLA’ not ready for prime time

Social Security’s cost of living adjustments (COLA) are designed to protect against the erosion of retiree purchasing power when prices go up, as measured by the Consumer Price Index (CPI). “Now Social Security self-styled ‘reformers’ seek to lower COLA every year based on their claim that COLA overstates inflation,” says Merton C. Bernstein, LLB, a nationally recognized expert on Social Security. The proposed substitute for the current CPI formula, ‘Chained COLA,’ is based on the assumption that benefit recipients substitute lower-priced goods as prices go up. “This the assumption is unrealistic for those millions who only have access to convenience stores that typically offer fewer choice and higher prices,” says Bernstein, the Walter D. Coles Professor Emeritus at Washington University in St. Louis School of Law. “And, further, it is not reasonable to assume that most consumers can outwit the wiles of merchandising experts.”

Ohanian to present inaugural Lloyd Cole Lecture on economic crisis

Lee E. Ohanian, PhD, professor of economics and director of the Ettinger Family Program in Macroeconomic Research at the University of California, Los Angeles, will present “Depressions, Crises, and Economic Policy: The 1930s and Today” at Washington University in St. Louis for the inaugural Lloyd Cole Lecture at 4:30 p.m. Tuesday, April 3, in the Danforth University Center, Room 276.

Medical ethicists confront cancer in new book

Rebecca Dresser, JD, the Daniel Noyes Kirby Professor of Law and professor of ethics at the School of Medicine, was diagnosed with head and neck cancer six years ago. For perspective, she reached out to other medical ethicists, who had either had cancer themselves, or had a spouse diagnosed with the disease. The group’s meetings became the basis for the book, Malignant: Medical Ethicists Confront Cancer.
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