Excerpt: America’s top 1% enjoy a fifth of the economy’s income and pay nearly a third of its federal taxes. Many politicians think they should cough up much more. Zohran Mamdani, New York’s mayor, wants a new 2% city levy on incomes over $1m. Virginia, Rhode Island and Washington state are weighing up similar measures; Californians are likely this year to vote on a “one time” 5% levy on billionaires’ wealth. In Europe, too, there is a similar clamour to target the wealthy. France has seen a popular campaign for a wealth tax. And with Sir Keir Starmer weakened or doomed as prime minister, the left wing of Britain’s Labour Party may implement one of its own. The “Robin Hood” state, which takes from the rich to give to the poor, has obvious appeal. Governments across the developed world are strapped for cash. Budgets are burdened by legacy debts, ageing populations and the need to spend more on defence. But few politicians will countenance raising broad-based taxes at a time when voters, scarred by the high inflation of the early 2020s, are worried about affordability. Booming stockmarkets, meanwhile, have reinforced the idea that inequality is too high. And it always sounds good to say someone else will foot the bill.
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No
I’ve kept inflation out to keep things simple. Yeah, the exact number will be different and depending on many factors, but the basic idea and the basic number are there.
For housing, I’d add one extra rule where for profit companies are not allowed to own houses for renting purposes.
If nobody can own more than a million, a couple with kids could own up to two million. Since people can’t afford to own multiple houses, and companies won’t be able to either, housing prices can go down to “what it cost to build plus a little extra” instead of “whatever some billionaire company can afford just to push the prices up”
I think the number is way off, but I share your desire to definancialize homeownership through regulation. The only for profit home ownership outside of a single personal residence should be purpose built rental appartment buildings, not buying up condos.