It doesn't make sense when thought of as a pension. You are right to point out that it doesn't function as an investment fund. Money is transferred directly fro

It doesn't make sense when thought of as a pension. You are right to point out that it doesn't function as an investment fund. Money is transferred directly from the young to the old. When Social Security is envisioned simply as a welfare program for people who are too old to support themselves, its structure becomes entirely reasonable.