Here's The Moral Basis For Progressive Taxation [View all]

[eniwetok]

Sorry for the title change... I think this new one better describes the topic...

Bernie often says corporations and the rich need to "pay their fair share"... and sure. Sounds good. But I have no idea what it means. Some seem to think that if I dare suggest such a phrase be fleshed out... that I'm a closet right winger when what I want the left to do is come up with a strong narrative for progressive taxation. So... to borrow what I've posted in the Thom Hartmann forum...

What would Steve Job's concept for the iPhone be worth in an impoverished 3ed or 4th world nation without the prerequisite prior inventions or necessary infrastructure to exploit that idea?

What infrastructure? How about a nation secure from invasion provided by our military? How about law enforcement provided by various federal, state, and local agencies? What about our highways, harbors, and airports that allow for easy transport of product to market? How about a literate and educated workforce? What about a economic system that allows for the existence of limited liability corporations which facilitate business by protecting the private property of business owners and shareholders. What about FREE intellectual property monopolies such as patents, copyrights and trademarks? What about FREE limited liability protection for corporations and shareholders. What would be the added costs if a corporation had to purchase the above as insurance in the private market? What about a judicial system to protect such freebies and oversee contract laws? What about stable monetary and banking systems from which to get credit? What about a regulated stock market that permits corporations to raise capital? What about subsidized capital gains tax rates? Arguably the business was the nations first official welfare program.

What about a system to insure public health... from clean water to vaccination programs to prevent pandemics? What of publicly financed basic research that saves companies money in R&D? What of a system that redistributes wealth so poor states or towns aren't left behind or a nation that permits workers enough income to provide demand for products?

When run well, the public and private sectors bootstrap each other to higher levels of prosperity. Without such infrastructures, that killer idea for Steve Job's iPhone would be worth nothing. Great wealth might not even be possible. And THIS is the moral basis for a strongly progressive tax code... that the rich pay more for their use of these freebies and infrastructure. Perhaps the income tax should be renamed the Opportunity Tax. It's a tax on the opportunity this nation provides to accumulate wealth.