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

[TahitiNut]

12. Without getting too wonkish, I'd tie the long-term capital gains tax rate to the Gini Coefficient.

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.