McRocket
Gold Member
- Apr 4, 2018
- 5,031
- 707
- 275
- Banned
- #1,661
Your avatar has shown time and again to a) not care in the slightest about fiscal discipline; and b) does not seem to have a clue now the economy works.
Income inequality has almost NOTHING to do with income tax rates. To start with, the mega rich do NOT make their money in 'income' - they make almost all of it in 'capital gains'.
The principle reason for income inequality is government/central bank interventions that benefit the wealthy with mark to market rule changes for banks, corporate bailouts, ultra-low interest rates (which only the rich can truly utilize) and QE (which again, only pumps up the equity markets - which are overwhelmingly owned by the wealthy).
If you raise federal income taxes to 70% (plus state income taxes) - the wealthy will leave...period. Why the fuck would someone rich stay in a country that takes almost all of their yearly income?
And forget the old 91% tax rate. That tax rate had ENORMOUS holes in it - almost no one paid that rate...or anything close to it.
You want to (eventually) drastically lower income inequality?
Make it illegal for the government to EVER bail out a company during peacetime, end the Fed's 'full employment' mandate (which will stop them from interfering in the economy for their rich buddies), balance the budget, end all deductions except capital losses and charitable contributions AND make capital gains and income tax rates identical.
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