A record share of the nation’s wealth is in the hands of billionaires, who pay a lower tax rate than the average American. This is indefensible
by Robert Reich
Part 4 - The third myth is that they’re superior human beings
They portray themselves as “self-made” rugged individuals who “did it on their own” and therefore deserve their billions.
Bupkis. Six of the 10 wealthiest Americans alive today are heirs to fortunes passed on to them by wealthy ancestors.
Others had the advantages that come with wealthy parents.
Jeff Bezos’s garage-based start was funded by a quarter-million-dollar investment from his parents. Bill Gates’s mother used her business connections to help land a software deal with IBM that made Microsoft. Elon Musk came from a family that reportedly owned shares of an emerald mine in southern Africa.
Don’t fall for these three myths.
Trickle-down economics is a cruel joke.
Bupkis. Six of the 10 wealthiest Americans alive today are heirs to fortunes passed on to them by wealthy ancestors.
Others had the advantages that come with wealthy parents.
Jeff Bezos’s garage-based start was funded by a quarter-million-dollar investment from his parents. Bill Gates’s mother used her business connections to help land a software deal with IBM that made Microsoft. Elon Musk came from a family that reportedly owned shares of an emerald mine in southern Africa.
Don’t fall for these three myths.
Trickle-down economics is a cruel joke.
The so-called free market has been distorted by huge campaign contributions from the ultra-rich.
Don’t lionize the ultra-rich as superior “self-made” human beings who deserve their billions. They were lucky and had connections.
In reality, there is no justification for today’s extraordinary concentration of wealth at the very top. It’s distorting our politics, rigging our markets and granting unprecedented power to a handful of people.
The last time America faced anything comparable was at the start of the 20th century.
In 1910, former president Theodore Roosevelt warned that “a small class of enormously wealthy and economically powerful men, whose chief object is to hold and increase their power” could destroy American democracy.
Don’t lionize the ultra-rich as superior “self-made” human beings who deserve their billions. They were lucky and had connections.
In reality, there is no justification for today’s extraordinary concentration of wealth at the very top. It’s distorting our politics, rigging our markets and granting unprecedented power to a handful of people.
The last time America faced anything comparable was at the start of the 20th century.
In 1910, former president Theodore Roosevelt warned that “a small class of enormously wealthy and economically powerful men, whose chief object is to hold and increase their power” could destroy American democracy.
Roosevelt’s answer was to tax wealth. The estate tax was enacted in 1916, and the capital gains tax in 1922.
Since that time, both have eroded. As the rich have accumulated greater wealth, they have also amassed more political power – and have used that political power to reduce their taxes.
Teddy Roosevelt understood something about the American economy and the ultra-rich that has now re-emerged, even more extreme and more dangerous. We must understand it, too – and act.
Since that time, both have eroded. As the rich have accumulated greater wealth, they have also amassed more political power – and have used that political power to reduce their taxes.
Teddy Roosevelt understood something about the American economy and the ultra-rich that has now re-emerged, even more extreme and more dangerous. We must understand it, too – and act.
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