January 28, 2019

The Week: How Elizabeth Warren's wealth tax could save America

Sen. Elizabeth Warren (D-Mass.) has a big new idea: She wants to directly tax the assets of the richest Americans. Her associates are calling it the "ultra-millionaire tax."

This is not crazy. Taxes on wages and income are common, including taxes on the money people get when they sell assets. Straight-up wealth taxes like Warren is proposing — which go after the value of things that individuals own — are less common, but not unheard of.

"My proposal will help address runaway wealth concentration and at the same time accelerate badly needed investments in rebuilding our middle class," Warren said in a statement. Conservatives, not surprisingly, rail against the proposal as an economy destroyer. But Warren has the right idea.

All things considered, Warren's wealth tax would probably be a net plus for the American economy. It would definitely be a net plus for American democracy.

Read the full article here.

By:  Jeff Spross
Source: The Week