The Tax Foundation’s Scott Hodge eviscerates the Left’s arguments about income inequality and puts real numbers to what would be required to make everyone “equal.”
Many people believe the “rich” can afford to pay higher taxes since they command a disproportionate share of the nation’s income. However, the current amount of redistribution already takes 21% of the top quintile’s income. That would have to soar to 74% to make every family in America “average.”
These are the missing pieces of the current inequality debate. To recap: Current federal tax-and-spending policies combine to redistribute $1.5 trillion each year from the top 40% of Americans to the bottom 60%. To close the income gap to zero would require $4 trillion.
Rather than demonizing the “rich,” we should learn what made them “rich” and seek to emulate the traits that led to their prosperity. Did they work hard? Did they have a great idea? Did their parents work hard and pass on legacy wealth? How long did it take them to become “rich”? Did they rely on themselves — or on government? Did they risk it all to pursue their dream?
I don’t want every family to be “average” and “equal.” I see people as individuals with unique dreams, interests, desires, and yes, limitations. I want every individual to achieve their dreams, to the level they desire. And it’s not up to me — or government — to decide what that is.
