Capitalism is like Ambition

[catsittingstill]

It"s a great engine for getting things done.

But if it isn't bridled, the results often turn out bad for all concerned.

We've been stripping the bridle off capitalism for the last twenty years or so, and it got us the mortgage meltdown, the credit crunch, and the current falling stock market, and an enormous increase in the wealth gap between the richest one half of one percent and the normal world.

Of course Capitalism doesn't like it when we start putting the bridle back on; it's got used to being able to go in whatever direction, at whatever speed, it damn well pleased, and to eating people's gardens to the bare dirt along the way.  We should bridle it anyway; it will get used to being a tame horse again.  As tame as it was under Reagan, anyway.

Comments

[bigbumble.livejournal.com]

Bring back the 90% tax bracket.

[technoshaman.livejournal.com]

Disagree, and I'll tell you why, using one of the oldest examples in our nation's history. Gen. George Washington refused a salary for commanding the Continental Army. He did, however, asked to be reimbursed for his expenses. As I understand it, George lived *quite* well even through the Winter of the Bloody Sevens. Bring back the 90% tax bracket, and suddenly expense rules get *quite* liberal.

In other words, people *will* find a way around the rules.

people *will* find a way around the rules

[bigbumble.livejournal.com]

Yup, right now they use various legal techniques to get around paying the 35% rate by converting income to the 15% capital gains rate. That is why you hear about a corporate boss paying taxes at a lower rate than his secretary. At 90% for regular income the capital gains rate was about 45%. That is what I figure the wealthy would really pay at most. There is a limit on the amount of expenses that can be deducted from taxes and I expect that corporate America, even now, does its best to push that limit.