OMG, I know, right.

So here is a solution for you, Dusten, because I just stopped following Umair for the same reason. Great headlines, great writing, but no path forward. Maybe Umair is looking for the answers from his many wise responders. So maybe this is for Umair, too.

There are a number of solutions to a number of the problems with Capitalism. But I have what I think is the single most effective first step. It’s simple really. It’s just to raise taxes on the rich and redistribute some of what we’ve given them.

Taxes play a huge part in the puzzle. It’s how America distinguishes itself from more advanced economies like Canada. Taxes take a cut of profits and redistribute some of the wealth produced by capital to the people who make the capital profitable. If we weren’t buying their shit and paying them rent, they’d be us. Tax cuts since Ronald Reagan have produced no trickle down. That’s why wages have been flat while GDP has continued to grow. Who got all that growth? The top 20% and the top 1% got half of it.

Why isn’t this obvious? People look for other answers but they don’t hit the nail on the head like this does. It’s simple, too. Just return to the Reagan era income tax rate and wala, you’re done.

Okay, it’s not quite that simple. You do need to adjust to reality. Capital gains would ideally be no different from income tax but you have to factor for today’s global situation. The solutions there are not so simple. And changing the tax code is going to be a hard fight. Probably easier than overturning Citizens United, but no easier than passing Obamacare. Once passed, taxes are one of the most efficient and effective economic tools out there. Not as easy as messing with interest rates, which have a powerful impact on large institutions, but more impactful on people’s lives and the whole economy.