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Progressive tax rates inhibit social mobility by making it difficult for those lower down on the ladder to accumulate wealth.
by skookumchuck 8y ago
Progressive tax rates inhibit social mobility by making it difficult for those lower down on the ladder to accumulate wealth.
- Gibbon1 8y agoThe system is designed to only allow people that made their money 'the right way' into the over-class. Which in this case means passive capital gains vs active or earned. So you can 'invest' half a million and 12 years to become a doctor and get hit with close to 50% taxes if you are successful. And the amount of your student loan expenses that's deductible is nil. Compare with borrowing half a million to 'invest' in stocks.
- skookumchuck 8y agoInterest on student loan debt is tax deductible, not the principle. Interest on margin debt is tax deductible, not the principle. It's the same. Also 'investing' in stocks is investing. It's not a fake investment or a scam. Lower income people pay 0% taxes on capital gains, and some online brokerage houses charge 0% commission. Essentially, anyone can invest in the stock market. It's a lot better than 'investing' in lottery tickets. There I used the quotes appropriately, because lottery tickets are gambling, not investing. The difference between investing and gambling is investing is when the mathematical odds are in your favor, gambling is when they are not.
- Gibbon1 8y agocough > https://www.irs.com/articles/tax-deductions-for-student-loan-interest https://www.irs.com/articles/tax-deductions-for-student-loan... $2500 if you're school teacher making $50k/year. Bupkis if you're a doctor making $200k/year. > Also 'investing' in stocks is investing. See useless zero sum activities.
- skookumchuck 8y ago> See useless zero sum activities. You could apply the same reasoning to every trade where someone wants something someone else wants to sell.