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Just like how that increase in marginal tax rate prevents anyone from climbing into the upper tax brackets (and why we never had millionaires back when the top
by lostcolony 6y ago
Just like how that increase in marginal tax rate prevents anyone from climbing into the upper tax brackets (and why we never had millionaires back when the top bracket was > 90%), eh?
Of course people can keep the surplus. Some of it. But we're a far, far cry from the point where people will stop working when only getting a percentage of their labor's worth (or their parent's labor's worth, as is often the case).
- leetcrew 6y ago> and why we never had millionaires back when the top bracket was > 90% some caveats apply to this offhand quip (very different tax laws and perhaps even widespread evasion meant almost no one was paying an effective tax of 90%, regardless of actual income). I suspect you know this. I'm sure there's a lot of slack in the tax brackets. I doubt we are close to a laffer curve inflection point. all I'm saying is I'm not convinced by the style of argument that goes "we already have enough food for everyone; we just need to radically reorganize the economy and then no one will go hungry!". more analysis is needed.
- sriram_sun 6y ago> and why we never had millionaires back when the top bracket was > 90% Over 20% of the money in circulation in the US was printed last year. i.e. the pot is much bigger now. Also, while tax rates were high back then, loopholes were proportionately larger!