You're walking through the desert, and you are really thirsty. George W. Bush appears, and you ask him for water. He says, "Well, I don't have any of that, but I can give you lemonade." You figure that lemonade would be just fine. G.W. hands you the lemonade, which bears the instruction "just add water."Kinsley's point was that despite all the effort being expended to push privatization, it won't really solve the Social Security problem anyway. Even people in the administration are admitting as much.
Also, Kinsley has written a "proof" showing that privatization "is mathematically certain to fail," and not because of the usual reasons one hears. His logic seems reasonable to me, but you'll have to go read it for yourself (I won't try to paraphrase it here).