Why are government pensions a Ponzi scheme?

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What do you think about when you hear the word “Ponzi scheme”? A scam? Well, I wouldn’t blame you.

The term Ponzi scheme comes from the Italian-American man called Charles Ponzi, who payed out old investors with money from new investors, about 100 years ago:

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So the money and investments never existed. All that it took for the whole scheme to fall apart, was for more people to pull out their money, than new investors coming in.

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