Kolek planning to go pro
Cost go up. Wealth in the middle and lower classes has not. Wealth for the rich has gone up. And that appears to mostly secondary to corporate policy and corporate influence/lobbying on government policy
This I would agree with, but not your first statement. But also important to point out how wealth is derived, and a pay check is only one small component of it. For the truly wealthy, a paycheck means nothing at all.
Right, because for the truly wealthy, earnings are derived from investment income, which is taxed at substantially lower rates than a paycheck.Just another way our system allows the rich to get richer at the expense of everyone else.
There is risk involved in investment income. Without those willing to take the risk , the economy will not expend and with it associated new technologies that benefit everyone.
For the long-term, wealthy investor, there's almost no risk.
Agreed.If that investor puts it all in an S&P 500 Index fund or a balanced fund like Wellington, over the long term, he or she will have taken little to no risk.Even if he or she invests in individual stocks, as long as he or she doesn't take any crazy risks, the market always moves ahead over time.Not to mention the fact that for the person with $1 billion in assets, even a $500 million loss won't "hurt" him or her. But the person with $20,000 in assets, just having to replace the hot-water heater can result in incredible financial stress.
Especially since capital losses are tax deductible.
The vast majority of truly wealthy People have their wealth concentrated in a single company or stock holding. They certainly have risk. There are many variables that need to be managed to have a successful business and there is lots of uncertainty along the way. Also the S and P 500 analogy is not really relevant, because the return depends on your holding period. Take a look at the long term charts and you will see peaks and valleys. If you get in and out at the wrong time substantial losses can occur. If it was so easy everyone would be wealthy. I am wealthy and can guarantee that the only guarantee I had was that there was risk along the way. I had to struggle to pay for the new water heater just like everyone else. I also guarantee I live a more modest life style than many middle class people. Part of the reason I got wealthy was because I was willing to explore opportunists that many others were not willing to explore . Then I worked hard and made my own luck. Even today I still have to take risks, but a business does not stay solid forever, it has to grow or it will die. Hence, risk comes into the equation.
Congrats. Your investment income should still be taxed the same as ordinary income.
Investment Income has already been taxed before it gets to the individual.In effect it is taxed twice Should be actually be no tax on capital gains as much of the capital gain in many cases is due to inflation and not real return.
Ordinary income tax rates at all levels are much too high. Does not reflect the self investment people have made in their own careers. Look at the people in the medical professions who spend hundreds of thousands getting those credentials. I would argue that for the first part of their careers they are just getting a return on capital invesments.
Investment Income has already been taxed before it gets to the individual.In effect it is taxed twice Should be actually be no tax on capital gains as much of the capital gain in many cases is due to inflation and not real return. Ordinary income tax rates at all levels are much too high. Does not reflect the self investment people have made in their own careers. Look at the people in the medical professions who spend hundreds of thousands getting those credentials. I would argue that for the first part of their careers they are just getting a return on capital invesments.
I never understood why people think they have to heat hot water
This is a silly statement but one that has been promoted for a long time. It's nonsense. Every dollar earned by anyone has "already been taxed."I pay income taxes. When I turn around and pay my car repair bill, should the repair shop's income not be taxed because my income was already taxed? It is an idiotic claim, but a lot of idiots like to make it anyway.
The corporate sales HAVE to come because the shareholders don't get the rewards from staying independent they do from an acquisition. You can have the government step in, ostensibly on anti-trust grounds, but the barriers to entry in the media world have fallen so much that just about anyone with a PC can publish, film, broadcast or televise. The anti-trust argument is ridiculous on its face.
The orange cheeto tried to stop AT&T but lost today.
Disagree strongly. Ordinary income doesn't carry the risk of investing and investing is the engine of capitalism. Tim Cook, whom I consider to be a liberal thinker and great CEO would shutter at your comments.
Tim Cook, whom I consider to be a liberal thinker and great CEO would shutter at your comments.
Why would he shut the wooden things that protect windows at those comments?