How does Social Security move U.S. economy away to Market Economy? ?

[Meg]

It is a pay as you go system,and is not savings that is invested in productive assets. However before social security most people did not save for retirement, but depended on family and children to help them in their old age. Now that we are a much richer country it probably reduces savings rates more that it did when it was put into place.
The proposals to change social security are mostly accounting smoke and mirrors, If the government invest social security taxes in the market , the current recipients will need to be paid from other tax revenue or more likely by issuing bonds that investors now in the market will buy.