A group of US billionaires have openly called for higher taxes of the rich as 18 of the richest Americans published a letter asking for “moderate” tax on assets. These thought leaders are pushing for higher taxes to ensure that they can address climate change, create domestic freedoms and improve health. The richest 0.1 percent of Americans hold a fifth of the US wealth, this is up 7% from the 1970s. This discussion was initiated by several billionaires and circulated amongst themselves b before going public with it. The daughter of Charlie Munger, Molly Munger said, “to strengthen the future of our country, we need to look for new tax revenues from those, like us, who have benefited the most.” Donald Trump proposed a one-off tax in 1999 to cut the national debt, but has not renewed his call since becoming president. This piece leveraged an article from the Financial Times, attributed to Alice Ross, and Andrew Edgecliff-Johnson.
Our Views: The 10 years of near zero interest rates is a period in history that is much like the 1930s when the wealthy who owned assets saw their wealth increase dramatically. This 40% of the US population that has grown wealthy should redistribute their wealth with those citizens in need. We feel that, like 100 years ago, the rich should be heavily involved in improving education, but building modern day libraries and giving grants to needed students. Reward those who work by educating them does make sense.