| steven787 said: That is because technology makes lives better. The quality of life get better for everyone as time goes on. Some of the poorest people of today in industrialized nations live "better" than the ancient royalty. But that doesn't matter I am talking about today. The tax code is set up where somebody who makes money off of investments pays a lower percentage than a middle class worker. The person who gets to not work because of the strength and security of the economy should pay more than the people who contribute to the strength and security of the economy. One last thing, the middle class not wealthier than they were 8 years ago. They make less money than they did then, when adjusted to inflation. |
Being taxed at a lower rate if you earn money from investments as compared to earning money through income has very little to do with giving the 'Rich' people in the world an easier time ...
The primary group of people who make most of their income from investments are pensioners, and (even though they have a lot of wealth) they're not particularly 'Wealthy' because the wealth they have built up over their life exists to provide them with an adequate income for the rest of their life. Beyond this, a important thing that has been lost over the past several years is that most people should live below the lifestyle they're able to pay-for and to invest money; some people would term this as "Living below your means" whereas it would be "Living within your means" in a more classical sense.
Now, why people today are worse off than they were 8 years ago is not a problem related to "trickle down ecconomics" and is a problem with poor ecconomic policy for several decades. Wealth is generated in an ecconomy when someone creates something of value which could be a physical product, an intellectual property, or a valueable service. Over the past couple of decades, as jobs that produced wealth were transfered to developing nations, the federal reserve propped up the ecconomy by flooding the market with inexpensive credit. This created a major problem, unproductive labour which is paid for through artificial equity which results in high inflation.
If you look at house flippers you can see this problem quite clearly ... In most (major) markets there were quite a few people who would buy new homes, or homes with fairly minor problems, do (practically) no work of value and then (somehow) earn a large return on investment as the home's value increased by 5 to 10%.
The average individual is no better off than they were 8 years ago because as more and more unproductive jobs have been created the average individual has had to pay more for everything to pay for these people's false labour.
