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The desire to do that is human, sure, but we can build systems to limit its impact. We could have a negative interest rate, tax wealth rather than income, etc
by bendergender 5y ago
The desire to do that is human, sure, but we can build systems to limit its impact.
We could have a negative interest rate, tax wealth rather than income, etc etc. People going to try to hoard, but you can add friction to make that harder.
- Xorakios 5y agoThat is popular thinking right now but exactly the opposite of what makes economic sense. Taxing income is counterproductive - an economy should reward, not penalize, the creation of value, whether that is individually or in groups/companies. But taxing wealth is even worse - savings and investment are what generates higher rates of productivity. By far the best thing to tax is consumption. But it will always be unpopular because it just seems unfair since people must consume to survive. But it's the only truly fair tax, since it actually makes taking from the world more expensive, rather than making contributing to the world less valuable/profitable.