Politicians of both parties have advocated means testing of Social Security benefits. This could be done by reducing benefits based on (1) income at retirement (2) wealth at retirement (3) lifetime earnings
I wonder how means-testing would work. Have there been specific proposals from politicians and think tanks? If Social Security is means-tested, the affluent could decide to
(1) work and save more, to make up for reduced benefits (2) work and save less, because means-testing effectively punishes them for saving
I wonder which effect would predominate.