And if Chained CPI is used to adjust Federal poverty levels, yes of course, chained CPI would provide a minimum baseline for SS benefits. Only if Chained CPI is used to adjust Fed poverty levels. Otherwise more and more seniors will fall below the poverty line after chained CPI takes effect.
And fewer people would qualify for EITC.
And if Chained CPI is used for Federal poverty guidelines, then fewer people will qualify for CHIP & WIC.
the proceeds from applying the chained CPI to the tax code should go entirely for deficit reduction. Using some or all of those proceeds to finance a reduction in tax rates should not be acceptable.
right, most families income taxes would go up, thru btacket creep. Wage growth increases more than Chained CPI increases, & C_CPI would be used for adjusting tax brackets.
The CPI appears in hundreds of places in the U.S. Code and other laws, affecting not just annual cost-of-living adjustments (COLAs) but also caps, eligibility thresholds, reporting requirements, fines or penalties, and payment rates for various programs. Only about a dozen such provisions dominate the budgetary effects of switching to the chained CPI.
http://www.cbpp.org/cms/?fa=view&id=3690
benefits provided under programs like
the EITC, CHIP, Medicaid, Medicare, SNAP, WIC,
the school meals programs, and LIHEAP are often
essential to helping people with disabilities and
their families meet their basic needs. Reductions
in eligibility or benefits could mean that some go
without necessary food, utilities, or health care
chained CPI would limit eligibility and
lower the maximum benefit for the Earned
Income Tax Credit (EITC
http://www.thearc.org/document.doc?id=4131
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