The Physics of Capital…
Think of gross income and taxes as spring’s snow melt, changing to water in the warmth of the sun, running off the side’s of mountains into small streams which in turn allow gravity to carry the water to its final destination: the sea in the case of water, or to shareholders in the case of profits.
Along the way, there are small rocks and giant boulders that redirect some of the water to tributaries which is used to water croplands and hydrate all living things. The same idea holds with capital: some is redirected for the public good through taxation before the surplus reaches shareholders.
At some point, shareholders found out they could game the system by paying elected officials in the form of campaign contributions who would then do investor bidding which, primarily, was to reduce taxes, or take the rocks and boulders from the streams — using the melted snow analogy — and allow more of the gross income to be paid to shareholders in the form of dividends, or increased share price when excess revenues were used for share buyback.
However, continuing the physics analogy of gravity’s influence, if none of the melted snow is allowed to filter out to be used for crops or other benefits to living organisms, and all of the water winds up in the ocean, then life between the mountain tops and sea level will struggle. But the oceans will be teeming with water.
The same will happen soon when there areno monies in government coffers to pay for services needed by the masses.
The super wealthy will be able to protect their enclaves and stores of fresh water with private armies, but the rest of humanity will have no choice but to stage a violent revolution, depose the wealthy, fight for control of the hoarded bounty they’ve pillaged, set up new forms of governments, enact new laws, and start the (predictable) cycles over again.
Though I’ve merged the idea of both the snow melt and the excess profits together to make a point, it should be obvious that moving in the direction of a planet that has only giant oceans and deserts is probably not the best path to take.
So, what’s the solution?
Taxation, and of course elected officials which support fair taxes that pay for necessary services (including a basic income if there’s no work for the masses), needs to be the number one goal of any legitimate political party moving forward. Any representative at the Federal, State, and Local level that’s says to the many that tax reform is their number one priority needs to commit to a description of tax reform that levies a fair tax for all, or if they just want to further reduce taxes then they need to be taken to a wall and shot. That’s harsh, but that’s what will happen to the many, if the few continue their quest to control all monetary policy.
If you don’t think the few are preparing for the above suggested revolution, a predictable result of their hoarding resources, then ask why they’re increasing so-called laws that limit citizen rights and expand the military capability of our homeland police departments. The few are scared, but are so greedy they don’t know how to stop or even curtail their greed and avarice.
