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I should have read the article before replying! Indeed, the article seems blind to capital taxes, focusing instead on income tax. Wealth tax is a pretty alien
by neolefty 10y ago
I should have read the article before replying!
Indeed, the article seems blind to capital taxes, focusing instead on income tax. Wealth tax is a pretty alien concept in the US -- I think it would face strong cultural resistance, and cause even more wealth flight to tax havens. And yet, I can see how it would tackle a big part of the problems described here.
It may need to be implemented in a coordinated global fashion to avoid cheating. You'd need the rich nations to do it, with a working enforcement mechanism that spans international borders. That, combined with cultural resistance, sounds hard.
- zeahfj 10y agoNo need for a global system in taxes to reduce wealth disparity. Just need to stop subsidising speculation. Due to agency costs (information asymmetry etc.) it's harder to make large returns on large amounts so the wealth levels off. The problem with a global system in taxes is that the taxes will just be used to subsidise more speculation.