7 ms·
Of course it's not a zero-sum game. We're a consumer economy. If the bottom 90% are having trouble paying their bills and don't buy as much stuff, the top 10%
by jbooth 15y ago
Of course it's not a zero-sum game.
We're a consumer economy. If the bottom 90% are having trouble paying their bills and don't buy as much stuff, the top 10% are going to feel the slowdown eventually. Think of it as your rational self-interest.
As a matter of fact, you know that graph in the linked article, how it shoes that inequality was way lower from 1941-1979? Guess which period of the 20th century had the highest GDP growth.
BTW, Bill Gates was in favor of a higher income tax in WA last time it came up, and as we all know is in the process of giving all his money away.
- bhousel 15y agoI'm not convinced that the top 10% sell things to the bottom 90%. We may have a situation where the different wealth brackets operate their own economies that really don't have much to do with each other. (I do agree with your main point that wealth creation isn't a zero sum game, which should be obvious to anyone by now).
- jbooth 15y agoDifferent wealth brackets operating in their own economies, what? The guy who picks your oranges drives a lexus? Yeah, you're working for rich people, but somewhere along the line those people are making money by selling to people who work from a living. Personally, my software buys advertising on exchanges to sell to agencies who are acting for large companies who have subsidiaries who sell things to people who work for a living. It's just a question of how many degrees.
- philwelch 15y agoDifferent Bill Gates. The income tax advocate is Bill Gates Sr., the father of Bill Gates the software magnate.
- jbooth 15y agoWSJ has him for it via a "source": http://blogs.wsj.com/wealth/2010/09/21/does-bill-gates-support-new-income-tax-for-wealthy/ http://blogs.wsj.com/wealth/2010/09/21/does-bill-gates-suppo... He's strongly and unambiguously in favor of the estate tax: http://www.trustsestateslaw.com/2009/05/warren-buffett-and-bill-gates-on-the-estate-tax/ http://www.trustsestateslaw.com/2009/05/warren-buffett-and-b...
- philwelch 15y agoBut the guy who actively campaigned for the WA state income tax was his dad. I'm not surprised they agree on it though; it would be awkward to publicly disagree with your own family about this kind of thing, especially if you're a billionaire.