Economists generally agree that projected long-term debt increases stemming largely from the growth in federal health care programs pose a threat to the country's economic competitiveness. Addressing the threat means difficult decisions for lawmakers and pain for many constituents in the decades ahead.
But the veterans groups point out that their members bore the burden of a decade of war in Iraq and Afghanistan. In the past month, they've held news conferences on Capitol Hill and raised the issue in meetings with lawmakers and their staffs. They'll be closely watching the unveiling of the president's budget next month to see whether he continues to recommend the change.
Obama and others support changing the benefit calculations to a variation of the Consumer Price Index, a measure called "chained CPI." The conventional CPI measures changes in retail prices of a constant marketbasket of goods and services. Chained CPI considers changes in the quantity of goods purchased as well as the prices of those goods. If the price of steak goes up, for example, many consumers will buy more chicken, a cheaper alternative to steak, rather than buying less steak or going without meat.
Supporters argue that chained CPI is a truer indication of inflation because it measures changes in consumer behavior. It also tends to be less than the conventional CPI, which would impact how cost-of-living raises are computed.
Under the current inflation update, monthly disability and pension payments increased 1.7 percent this year. Under chained CPI, those payments would have increased 1.4 percent.