Suddenly, It's No Fun to be Rich

After much haranguing over the size and scope of the stimulus, Mr. Obama has released his second sweeping proposal to adjust Americans' balance sheets.


This time, it comes through a leveling of the tax structure that has bedeviled low and middle income workers since the Reagan administration. The proposal indicates a historic effort to address income inequaltiy, but with Republicans already miffed over the gargantuan stimulus bill, Congress will likely be poised for a fight.

The details sound anathema to the largesse some high earners have been accustomed to for thirty years. The highest one percent of the tax bracket--the very group that ushered Mr. Obama into office--could pay up to $100,000 of their annual income in taxes. Their contributions would funnel into federal education and health care programs which would further reduce the burden on the lower tax brackets that currently face rocketing medical costs.

The Wall Street Journal details, "After 2010, American households making over $250,000 would see the rate at which they can deduct mortgage-interest payments and other items from their taxes reduced to 28% from the current 35%, costing them $318 billion over 10 years."

The wealthy did certainly benefit under the Bush tax codes at the same time median income for the middle class fell by nearly $2000 annually. In a polemic against Republican favortism for the wealthy, Obama introduced his tax proposal yesterday at the White House. "With loosened oversight and weak enforcement from Washington, too many cut corners as they racked up record profits and paid themselves millions of dollars in compensation and bonuses. There's nothing wrong with making money, but there is something wrong when we allow the playing field to be tilted so far in the favor of so few."

In Congress--where 2009 salaries avergage $174,000--the debate will likely depart from the massive drain on federal coffers the stimulus foretells. Add to this the as yet unknown depths of the economic recession and fierce debate over tax reform looks assured.

Matt Miller, Senior Fellow at the Center for American Progress and author The Tyranny of Dead Ideas, continues the discussion of taxes and tax reform.

LinkedIn meets Tinder in this mindful networking app

Swipe right to make the connections that could change your career.

Getty Images
Sponsored
Swipe right. Match. Meet over coffee or set up a call.

No, we aren't talking about Tinder. Introducing Shapr, a free app that helps people with synergistic professional goals and skill sets easily meet and collaborate.

Keep reading Show less

People who engage in fat-shaming tend to score high in this personality trait

A new study explores how certain personality traits affect individuals' attitudes on obesity in others.

Pixabay
Mind & Brain
  • The study compared personality traits and obesity views among more than 3,000 mothers.
  • The results showed that the personality traits neuroticism and extraversion are linked to more negative views and behaviors related to obesity.
  • People who scored high in conscientiousness are more likely to experience "fat phobia.
Keep reading Show less

4 anti-scientific beliefs and their damaging consequences

The rise of anti-scientific thinking and conspiracy is a concerning trend.

Moon Landing Apollo
popular
  • Fifty years later after one of the greatest achievements of mankind, there's a growing number of moon landing deniers. They are part of a larger trend of anti-scientific thinking.
  • Climate change, anti-vaccination and other assorted conspiratorial mindsets are a detriment and show a tangible impediment to fostering real progress or societal change.
  • All of these separate anti-scientific beliefs share a troubling root of intellectual dishonesty and ignorance.
Keep reading Show less

Reigning in brutality - how one man's outrage led to the Red Cross and the Geneva Conventions

The history of the Geneva Conventions tells us how the international community draws the line on brutality.

Napoleon III at the Battle of Solferino. Painting by Adolphe Yvon. 1861.
Politics & Current Affairs
  • Henry Dunant's work led to the Red Cross and conventions on treating prisoners humanely.
  • Four Geneva Conventions defined the rules for prisoners of war, torture, naval and medical personnel and more.
  • Amendments to the agreements reflect the modern world but have not been ratified by all countries.
Keep reading Show less