Even if we're extraordinarily successful ... at keeping the per capita costs limited, there has to be some way to finance care for that many people.

If only 20 percent or even 30 percent of seniors sign up, that is every negative for the future of the program because the people most likely to sign up are the people with high drug expenses, and you don't have insurance if you don't spread the risk among people who are healthy.

Shifting to private investment wouldn't be easy. A whole generation would have to pay twice -- saving for themselves while paying benefits to those retired under the old system.

Clearly, the COLA is not going to be enough to offset these higher costs, particularly in heating.

The potential is grim.

We really need to think about four pillars for retirement.

There's no need to rush in, but most people will probably be better off getting the coverage than not joining up.

We're putting a spotlight on what manufacturers are charging, which is by far the most significant part of the price equation.

It's moving in the right direction. I will say that. But this is the sixth year in a row of price increases that are at least twice the rate of inflation, so it has a cumulative effect that I think is pretty serious.