As President Bush prepares to disclose the details of his plan to funnel hundreds of billions of dollars of future Social Security funds into privately held investment accounts, Wall Street has begun a muted lobbying campaign, chastened by bolder forays that failed in years past. So far, the chief executives of most financial firms have refused to take a public stand in support of private accounts, wary of being seen as too eager to embrace a potential new revenue stream. At last week's White House economic meeting in Washington, they were conspicuous in their absence from the Social Security panel. Even in direct meetings with President Bush, who actively campaigned on the issue of Social Security, executives have shied away. There are signs, however, that the industry is becoming a little more aggressive in pushing for private accounts, through a loose assemblage of trade associations, business coalitions and conservative research centers. These groups have lately begun trying to raise money from business interests and to marshal support on Capitol Hill, while also seeking to deflect criticism that Wall Street is behind the move simply to reap rich rewards for administering the accounts. [more]
- Pictured above: President Bush met earlier this month with Social Security trustees, including the treasury secretary, John W. Snow, in front of the fireplace, and the labor secretary, Elaine L. Chao, on the sofa at right.