"Job Creators," huh? OK. Let's have a top tax rate of 35% + Unemployment Rate!

I get it.

The Gini Coefficient (also called the Gini Index) is a measure of equitable distribution, usually used in relation to Income Distribution. It ranges from zero (0) to one (1.00) where zero is perfectly equal distribution and one is a distribution where a single person gets everything and everyone else gets nothing.

The Gini Coefficient of Income Distribution in the U.S. is currently around 0.47, which is the highest (most inequitable) it's been since we first gathered the data.

It seems to me that the income tax on realized long-term capital gains could be tied to the Gini Coefficient ... at, say. 0.10 less than the measure in the year preceding the tax year. Thus, those with the GREATEST incentive to ensure that we have equitable incomes in this country would be those with the most to lose in capital gains.

This might be a decent way to peg the corporate tax rate as well.



Needless to say, I'm a "systems wonk" ... and like feedback loops and self-correcting systems. I tend to look for ways to create gross incentivization mechanisms ... and tend to eschew the fad du jour.

i hadn't heard the idea of tying capital gains tax to the gini coefficient

That is a really good idea.

Given that wages paid by businesses are themselves tax deductions, this really does take the wind out of that sail.

This could solve the employer-employee and applicant disconnect IMHO.

now we need a responsible government to make it happen

I'm a bit surprised at the uniformly positive reactions. Where did the curmudgeons go?

But what about businesses that just don't need more employees? Will they be forced to hire people whether they have work for them to do or not or face the higher rate?

... except pay income taxes. But that's hardly a change ... for most.

If a business owner doesn't need any more employees, would the only choices be a) either hire someone, even though they're not needed, or b) pay the higher tax?

I don't see the point of punishing, through a higher tax rate, someone that isn't hiring because they don't have any work for them to do.

The top marginal tax rate would apply to everyone earning over the $370,000 (or so) marginal income level. The notion that those are the "job creators" is a collective ascription, not an individual mandate.

In other words, it's not applied lie a "deduction" or "exemption" on any individual tax return.

In my view, the tax rate incentive would actually operate in those cases where decisions are close ... hire or not, buy American or foreign, etc. In effect, it's a wallet-based "patriotism" ... but it ALSO tends to emphasize the need to balance the load on those who think they can profit from attacking the working class.

Heck, even I could post something to the effect of "Good luck getting ANYTHING sane passed in the Rich Man's Congress!!"

Set the base rate at 35% and then for every point the unemployment rate is over 5% the tax rate for the top 1% goes up 3%.

So if the unemployment rate is 9% the tax rate for the top 1% would figure like this;

9% - 5% = 4%
4 X 3 = 12
35% + 12% = 47%

Having a tax rate linked to the unemployment rate would also encourage legislation for things like, a shorter work week, more vacation time, paid leaves, and just about anything that would keep people listed as employed.

The one catch is to have an honest and accurate figure of the unemployment rate.

The proposal actually only relies on CHANGES to the unemployment rate. It is, therefore, only necessary that any change to the methodology be implemented IN PARALLEL to the unchanged methodology for a few quarters (for perhaps a year or so) in order to preserve the valid baseline of CHANGES.

I'm actually fairly confident in the current methodology and its representation of CHANGE ... i.e. increases and decreases in the "real" unemployment rate. The C.E.S. (from which employment is calculated) and the C.P.S. (from which unemployment is calculated) are fairly consistent ... and involve such large samples that the overall rates just aren't subject to any material statistical error.

... example of the Big Lie. But there are cracks in the dam as more and more people notice that it hasn't worked for TEN FUCKING YEARS and it is not going to work EVER.

All the right-winger "supply-sider" morons should have NOTHING to complain about IF they wish to preserve the fiction that the two are linked causally. Of course, they'd run from the proposal like vampires from holy water ... hypocrites are like that.

Put the "Job Creators" on an incentive program. Invest in America and keep American's employed and you'll have low taxes. Invest in some other country, stash your cash in offshore banks and show no loyalty to your country, then get ready to pay through the nose.

Make them put their money where their mouth is.

Not that crazy of an idea. Send it to your congressman.

Force them to abide by supply side economics.