WaPo Editorial Board Rips Warren’s ‘Authoritarian’ Wealth Tax Plan – NTK Network WaPo Editorial Board Rips Warren’s ‘Authoritarian’ Wealth Tax Plan

WaPo Editorial Board Rips Warren’s ‘Authoritarian’ Wealth Tax Plan

Her policy, which charges “people worth more than $50 million to renounce their citizenship,” “conveys a certain authoritarian odor,” the editorial board wrote.

By NTK Staff | 01.28.2019 @10:14am
WaPo Editorial Board Rips Warren’s ‘Authoritarian’ Wealth Tax Plan

The editorial board of the Washington Post ripped into Sen. Elizabeth Warren’s (D-MA) wealth tax in a piece published Sunday evening, saying it has proven to fail in numerous European countries and noting it “conveys a certain authoritarian odor.”

The plan, which Warren informally rolled out last week, includes an annual 2 percent wealth tax on those worth more than $50 million and a 3 percent wealth tax on those worth $1 billion or more. As NTK Network noted last week, Yale economics professor and Nobel laureate Robert Shiller already criticized the plan because it will inevitably drive people out of the U.S.

The Washington Post editorial board took Shiller’s point a step further Sunday evening:

Problems of implementation abound, starting with pricing non-publicly traded assets such as land or rare antiques. The tax would create a huge incentive for tax avoidance among a segment of society well able to afford accountants and lawyers. The authors of the proposed wealth tax would bolster enforcement by charging people worth more than $50 million to renounce their citizenship, which conveys a certain authoritarian odor. This country has prided itself as a destination for immigrants with great ideas for creating wealth, not as a place that bars the exits to anyone, rich or poor.

Worse for Warren, the editorial board noted that eight of the 12 countries that implemented a similar wealth tax in Europe had repealed them in recent years, including Sweden, Denmark, and France.

On top of this wealth tax simply being a bad idea, the editorial board noted that Warren would encounter the same hurdles that every presidential candidate does when attempting to implement policy: first, you must get elected; then you must win 60 votes in the Senate; and for this particular plan, the editorial board noted Warren would need to “overcome a likely constitutional challenge.”

While it’s still very early in the presidential primary process and Warren has risen to the top of exactly zero public opinion polls, it’s far from clear that Warren would have any kind of mandate to implement a controversial policy like this, should she manage to win the nomination and defeat Trump. But the question remains, will other candidates, including Democrats, use this policy to defeat her? We’ll find out in the coming months.

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