Throughout the past couple of decades, countless amounts of people have begun to wonder at which rate the rich should pay more in taxes. It is known to most Americans in society the rich earn more money they worked hard for, but the more you earn, the more taxes you should pay. The top one percent of wealthy American business owners, etc. have learned ways around paying their taxes through loopholes abusing the rights of equality. It 's not a secret that money causes greed and selfishness. The wealthy are less likely to help those who are in need of help. The poor are forced to go through difficulties when it comes to the financial aspect and have to worry when it comes to how their money is spent. This is unlike the rich however, because they 're paying the same amount of money as someone who’s substantially less than 3 them. With a stale economy right now daily living is hard on people that are in middle and lower class. It is seen as unfair among those of the middle and lower class as their values have decreased, setting wages lower and the wages of the wealthy higher than in previous decades. Cost of living has gone up, it has gotten hard for many people to be able to afford to have common amenities such as housing, food, and health related products. Revenue for defense, education, health care, social security, and so many other needs must come from somewhere Yet the increases of money continue to flow to the rich and less to the poor
James Madison once stated inequality of the rich and poor predicament to be “evil” and believed that the government should avoid an “immoderate, and especially unmerited, accumulation of riches” (Johnston, 2016). As one of the founding fathers of our nation, James Madison had a concern about the separation between the rich and the poor. He felt the government should do what it could to avoid the separation, which one can infer that he meant for the government to tax the rich by a greater percentage, thus reducing the financial burden on the poor. A rift has always been present between the rich and the poor throughout history. Depending upon the job, the working class may or may not make enough to support a family. At this point, the
Wealth inequality in the United States has grown tremendously since 1970. The United States continuously reveals higher rates of inequality as a result of perpetual support for free market capitalism. The high rates of wealth inequality cause the growing financial crisis to persist, lower socio-economic mobility, increase national poverty, and have adverse effects on health and well being.
The gap between the rich and poor in the United States is constantly growing, due to the fact that minimum wage is low for the poor but not for the rich. The rich are getting richer and the poor are getting poorer. There is no gray area in this situation. According to A Project of The Institute for Policy Studies, “The top 0.1 percent is taking in over 184 times the income of the bottom 90 percent.” There
In recent years, a growing gap between the wealthy and the middle class has grown, as the wealth of the world has increased significantly, yet only a minority of individuals get to enjoy it. Income inequality has been proven to be detrimental to not only the economy, but to the overall well-being of a nation as it leads to societal upset and can potentially prompt a decline in progression as a nation. Over time, income inequality has led to negative results in the United States, as well as many other nations including Greece. Consequently, the solution to prevent income inequality from deteriorating a nation and prevent economic upset is to ultimately tax those who are wealthier at a higher rate and put said money towards education and healthcare
Alyssa Battistoni makes some very good points in her article, “The Public Overwhelming Wants It: Why Is Taxing the Rich So Hard?” regarding how the wealthy have a big part in influencing the government and taxes. Her article makes valid points on how we, as citizens, under estimate the political influence of the rich and that we have a hard time understanding the magnitude of the economic inequality and the relationship it has with political power (Battistoni, 720). She states that many of the politicians themselves are in the wealthy category. This article shows the frustration Battistoni feels by the tone and wording she uses to make her examples such as when she states that we are getting caught in a negative feedback cycle as the rich
The vast wealth inequality in America (and the rest of the world) has been cited as a problem by Obama in many of his State Of The Union address, the Chairwoman of the Federal Reserve Janet Yellen, and many other liberal politicians and economists. Their talk about the problem of how the “1%” help perpetuate the wealth inequality has brought this issue to the forefront of society. In America, many citizens believe firmly in the idea of equality. The fact that some people have more money than they could ever spend, while others live in poverty on the streets conflicts with that value of equality. The most famous reaction to this rampant inequality was the Occupy Wall Street movement that started in 2011. Tens of thousands of people camped out next to Wall Street offices in New York and several other financial centers across the nation to protest the inequality between the 1% and the other 99%. This infamous movement gained media attention as the vocal protesters wanted to make it known that the wealth divide is unacceptable and politicians must rectify the situation. One important policy tool the United States has implemented to combat wealth inequality is a progressive tax. This means that people with more income are taxed at a higher rate than those with lower income. However this tax system has many loopholes in the United States, and the wealthiest individuals are routinely able to avoid being taxed at a higher rate by distributing their wealth in bank accounts
Wealth in the United States is generally thought to be distributed fairly as the highest earners have a higher percentage of wealth. Although this common notion is technically correct, the wealth is not spread as fairly as people might believe. The United States uses a free market, capitalistic economy, which entails wealth inequality. However, the amount of wealth inequality depends on how the government limits the wealthy. Interestingly enough, the government does not have regulations to distribute the wealth more fairly as the top 1% of earners in the United States own about 40% of the financial wealth in the country and the bottom 80% of earners own a measly 4.7%. Astonishingly, the financial wealth for the top 20% increased from 1983 to 2010 meaning the wealth became more concentrated at the higher socioeconomic tiers as time passed. These economic inequalities benefited the wealthy as they gained political powers, controlled a large portion of the economic market, and used capitalism to manipulate the public’s perspective of the wealth distribution in the United States. While wealth inequality is a result of capitalism, extremely wealthy people use their wealth to exercise political power,but the average person does not understand that this is a corrupt method of crippling the economy in favor of the ultra wealthy.
Since the early 1980s in the United States, there has been a big push advocating for tax cuts benefitting the wealthiest Americans at the expense of investing in education, infrastructure, child care, and income supports that would help raise well-off children to be productive adults. As a result of this, the gap between the rich and the poor has grown wider, making the wealthy more willing to sacrifice overall economic growth in exchange for the larger share of money that they are getting for themselves. This has led to severe income, racial, and poverty inequality in the United States and creates an inequality trap because as the rich get wealthier, they favor policies that earn them more money and power at the expense of the low-income workers education and well-being.
With rapidly rising income inequality in the United States, would the redistribution of taxes benefit the US economy? It is one of the greatest political questions that deserves to be debated since the US economy suffers with a huge deficit that topped $20 trillion this year and is expected to grow by another 10 trillion over the next decade. In Julie Borowski’s blog post,”Why Shouldn’t the Rich Pay More in Taxes,” she reveals the value of equal opportunity as she proves her argument of why the rich should not bare a larger burden on the national debt crisis through her use of ethos, logos, cynical diction and rhetorical questions. Before we analyze her views, it is important to note that our federal income taxes pay for social security
A government has the obligation to create economic equality amongst a nation through the redistribution of national wealth; this includes reducing the income that the top 1% of Americans make and heavily taxing them. If no actions are implemented within our economic society to lessen the wealth of the top 1%, their overall monopoly over the American economy will continue to increase. According to the Federal Reserve Report “America's top 1% now control 38.6% of the nation's wealth, a historic high.” This may seem minute in comparison to the rest of America’s 61.4% of combined wealth, but as the top 1% of overall wealth increases, the little wealth that the middle class obtains decreases significantly. This has already taken place, as seen in
The middle class ($50,000-$99,999) paid 14.9 percent of individual taxes, while the poor class paid 0.1% of individual taxes. The 1%, rich class, paid more than the middle class and poor class combined, yet they aren’t paying their share in the eyes of so many. In 2011 the 1 percent, people who were making $100,000 and higher paid 23.8 % of the total tax liability and 9.1% in 2000. According to the National Tax Payer’s Union, in the tax year of 2014 the top 1% ($465,626 AGI) paid 39.48% of taxes, while the top 50 % -25% ($38,173-$77,713 AGI) paid 10.47%, and the bottom 50%(<$36,841 AGI) still paid the least with paying only 2.78% of
Alyssa Battistoni wrote an article about “Why Is Taxing the Rich So Hard?.” She talked about the rich having political clout, how they don’t exactly have control over the government and political views, but they are a big influence in the decision making. The wealth fund and engage in politics, making preferences for the wealthy. Citizens in the top income provide three-quarters of contributions. The rich have political power, which blocks higher tax rates for them. It is true what they say “the rich get richer, while the poor get poorer.” because of the views endorsed by the rich, the average American’s only get their voices heard in an “opinion poll.” “Which only benefits a few at the expense of the many” - (Jacob Hacker and Paul Pierson
The rich and business owners already pay far too much in taxes. They already sacrifice too much. They already share their wealth too much. The top 1 percent of income earners (almost all of whom are small business owners) already pay 40 percent of the personal income taxes in America, more than the bottom 95 percent combined.
Our wealthy pay the highest taxes in the world. If they leave, then we will lose 58 percent share of taxes, 80 percent of charitable contributions and the majority of jobs. They are leaving. The Census Bureau reported that departures of top earners, used as scapegoats for the failings of government, doubled this year to 154 a week (74 in 2011). As Obama’s attack escalates, departures escalate. Soon, tax burdens must fall on the middle class. Europe’s decline began the same way.” The minimal amount of good raising the taxes of the wealthy would do doesn’t seem worth the risk of them moving to places with a lower tax rate. There are many arguments to be had on both sides of this debate. The poor and middle class aren’t given the chances the rich are because the schools are better in rich neighborhoods then in poor neighborhoods, poor and middle class can’t afford college (which is false because financial aid makes it possible for everyone now), and the rich have the money so why not tax them more? The rich say they earned their money so why should they be responsible for bailing out America and not all Americans including the ones who make less, and why is success a measure of how much you should be taxed? Neither side is right and neither side is wrong and it comes down to a personal preference. This is where Obama was smart because most of America who are middle class won’t think like me and my mom and do believe the rich
Today’s economic inequality has led some Americans wishing for the rich to pay more in taxes. Leaving the rich speechless as to why they should pay more even after working hard to reach their goals. “The poor are not poor because the rich are rich”, as this was stated in the Inequality Misunderstood document by Robert J Samuelson, this proves the point as to the rich being able to work hard in order to have the money to support their family. The reason as to why the rich are rich is because of small businesses, including car dealerships, and also creating big companies such as Google or Microsoft. Even though there are few percentage of Americans who are rich because of inheriting their family fortunes, there was still that one person in their family who worked hard enough in order to provide this kind of support for his or her family. In this article, the author argues about the thesis of the economic inequality, because the poor want the rich to pay more in taxes because they are considered as “scapegoats.”