Giving up is the cowards route. How do we figure out what to do?

It's only a "ponzi scheme" because of hard to guess demographics. It requires help & correction I'm my view. It's bleak sad & vicious anti-human nihilism to "give up". That feels low, cruel, and an unimaginable horror to me. Giving up & doing nothing is an opting for unimaginable brutal cruelty & suffering. How can I even start to sympathize with that?

It's a ponzi scheme structurally and independent of demographics, this is tautologically true given the definitions of how these systems work and what Ponzi scheme means. Ponzi schemes don't only become so when they go deep into the red, they are Ponzis right from day one if they work by paying out early investors from the fees paid by later investors.

Giving up in this context means switching to a better system, not doing nothing. It's a really bad habit of political debate to assume that if the government provides a service, only the government can provide that service and anyone who criticizes their bad provisioning is therefore arguing for no service to exist at all (and therefore that they must be inhumane and evil). It's just a cheap and nasty debating tactic that you should avoid. "Giving up" means simply for all pension and social insurance to be managed by the private sector. Governments could maybe mandate you buy a policy, and they'd still regulate the private investment funds, but that'd be the limit of their involvement.

The advantage is that governments are much better at enforcing rules on companies than their own departments. There are lots of rules governing how investment capital is managed if you're in the private sector, but if government run pension funds were companies the management would all have been put in jail decades ago, and the Justice Department would be crowing about how it had protected vulnerable citizens from them. Keeping capital savings and management in the private sector (which is good at it) and rule enforcement in the government (which is good at it) would result in a fairer and more trustworthy system over the long run.