Optimal Tax Rate Debate - UPDATED

Taxes, Government Transfers and Wealth Inequality by Eugene Steuerle

http://www.milkenreview.org/articles/taxes-government-transfers-and-wealth-inequality

When the Top U.S. Tax Rate was 70 Percent—or Higher

https://www.theatlantic.com/notes/2019/01/tax-rates-davos/581257/

Taxing the Rich Is an Idea Whose Time Has Come — and Gone

https://www.bloomberg.com/opinion/articles/2019-01-29/wealth-tax-plans-have-a-long-and-contentious-u-s-history

A Better Way to Tax the Rich

https://www.nytimes.com/2019/01/28/opinion/aoc-wealth-tax.html

Reducing Wealth Inequality Through Wealth Taxes Without Compromising Economic Growth

https://promarket.org/reducing-wealth-inequality-through-wealth-taxes-without-compromising-economic-growth/

Do High Taxes Discourage Entrepreneurial Activities?

https://www.bloomberg.com/opinion/articles/2019-01-25/u-s-economy-don-t-be-sure-that-tax-cuts-are-good-for-startups

Are Micro and Macro Labor Supply Elasticities Consistent?

http://www.rajchetty.com/chettyfiles/micro_macro_aerpp.pdf

Economists Emmanuel Saez and Gabriel Zucman note:

https://www.nytimes.com/2019/01/22/opinion/ocasio-cortez-taxes.html

“Alexandria Ocasio-Cortez has kick-started a much-needed debate about taxes. But the debate, so far, has been misplaced. It’s obvious that the affluent — who’ve seen their earnings boom since 1980 while their taxes fell — can contribute more to the public coffers. And given the revenue needs of the country, it is necessary.

But that’s not the fundamental reason higher top marginal income tax rates are desirable. Their root justification is not about collecting revenue. It is about regulating inequality and the market economy. It is also about safeguarding democracy against oligarchy.”

Bloomberg editors’ note: The Case Against 70 Percent

https://www.bloomberg.com/opinion/articles/2019-01-22/the-case-against-alexandria-ocasio-cortez-s-70-tax-rate

"Warren Buffett famously once said his secretary faced a tax rate higher than his. The reason is that most of Buffett’s income is in the form of capital gains, which are taxed at a lower rate. Without comprehensive tax reform, introducing a top rate of 70 percent, or anything close, would vastly increase the profit to be made from lawful tax avoidance, including arrangements that recast income in the form of capital gains, a maneuver that’s especially appealing to those making more than $10 million a year. (While it’s true that top rates in the U.S. used to run even higher than 70 percent, it’s also true that these taxes raised relatively little additional revenue for the government.)”

RELATED:

https://vivekjayakumar.blogspot.com/2019/01/economics-and-politics-of-tax-cuts.html