Pelosi: I Only Supported Cuts To Social Security ‘To Call The Bluff’ Of GOP
House Minority Leader Nancy Pelosi (D-Calif.) upset progressives last month when, amid the fiscal cliff debate, she said she backed the idea of cutting Social Security benefits by changing the way inflation is calculated for recipients.
But now Pelosi says she was bluffing, at least in part, to see how far Republicans would go in compromising on a deal.
“It was really to call the bluff of the Republicans’ tactic,” Pelosi said during a small gathering with reporters on Friday. “At what figure will you raise taxes on the rich? At what place do you keep moving the goalpost on entitlements?”
In the final weeks of fiscal cliff negotiations, President Barack Obama said he supported the idea of tying Social Security cost-of-living increases to a chained CPI, or chained Consumer Price Index. Social Security benefits are currently calculated by inflation rates. By changing the formula and instead calculating benefits with a chained CPI, the result would mean small cuts at first, but would eventually cost beneficiaries thousands of dollars over time, which is why Democrats have largely fought the idea.