CHANGE SOCIAL SECURITY TO MAKE BOOMERS WORK LONGER
In "The coming job bottleneck" (Workplace, Mar. 24), your discussion of the "graybeard ceiling"--as presented in Hudson Institute's forthcoming book, Workforce 2020--Work and Workers in the 21st Century--was excellent and generally to the point. We would like to clarify one statement, however. Workforce 2020 will nowhere suggest reinforcing seniors' entitlements to make retirement more attractive. On the contrary, we suggest changing Social Security to encourage seniors to work.
IndianapolisReturn to top
AFTER ALL THESE YEARS, S&Ls ARE STILL HEALTHY
In "Out of the S&L ashes" (Finance, Mar. 24), you say the thrift industry has been in rapid decline since the 1980s. That is not true. By virtually any economic measure, today's savings and loan associations are healthier, more profitable, and better capitalized than ever. The industry has consolidated considerably in terms of numbers of institutions since the 1980s, as have all types of financial institutions. But those that remain are well managed, well capitalized, innovative institutions that are serving their customers and their communities across the nation.
Paul A. Schosberg
America's Community Bankers
WashingtonReturn to top
FOR THE SECOND TIME, THERE'S NO MOB CONTROL OF SOVEREIGN
As spokesperson for Sovereign Equity Management Corporation, I am once again amazed by the irresponsible and inaccurate journalism exhibited in your article "The Mob on Wall Street: Why you can't see it" (Finance, Mar. 24).
Gary Weiss has again relied upon unnamed sources to vilify Sovereign Equity. According to his report, "Street sources say Sovereign is controlled by Abramo." We again vehemently deny any such control relationship with the individual he has described as a "reputed Mob financier," as we did after your prior, similarly unsubstantiated assault on our company in December, 1996.
Mr. Weiss has continued to draw erroneous conclusions and has again created an unfounded air of suspicion surrounding our company.
Thomas W. Hands
Director of Compliance
Boca Raton, Fla.Return to top
PRIVATE CAPITAL IS NO PANACEA FOR NEEDY NATIONS
Rudi Dornbusch suggests that intergovernmental financing is less necessary in these days of buoyant capital flows to developing countries ("Do we really need the World Bank anymore?" Economic Viewpoint, Feb. 24). Why use public funds, he asks, if private funds can do a perfectly adequate job? As far as the International Monetary Fund is concerned, the answer is threefold.
First, as happened to Mexico in early 1995, a country can lose access to international capital markets just as it must undertake painful changes in economic policies. IMF lending can help speed a country's return to private financing.
Second, because the economic policies promoted by the IMF are market-friendly, IMF financing directly increases the creditworthiness of the borrowing member. Finally, if any lesson has been learned from Mexico, it is that multilateral support is needed to ensure policy correction and spread the burden of support across the IMF's membership.
Shailendra J. Anjaria
External Relations Department
International Monetary Fund
WashingtonReturn to top