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Because that money/income/wealth was generated from the sum total effort and infrastructure of society as a whole. Consider the utility derived from a roadway
by wavefunction 9y ago
Because that money/income/wealth was generated from the sum total effort and infrastructure of society as a whole.
Consider the utility derived from a roadway for two different people. For the average American, they're a way to get conveniently across from point a to point b. For the wealthy their factories are able to ship goods and services to markets all over the country. Their employees are able to drive to the factory. The factory itself was built because there was road access for construction vehicles to reach the site and transport raw materials there.
The SEC is a great example. We all benefit from having a market for securities that is stabilized by regulation and oversight. For someone with no securities their utility derived ends there. For the wealthy, they derive the maximal utility from that same situation since they have wealth to protect from unscrupulous actors.
Is there any case you can make that the wealthy don't derive more utility from society and so should face a greater burden in maintaining it via taxes?