Eleven months ago Jake Gambino wrote:
As the left and right battle atop the D.C. throne, our country passed $20 trillion in debt. I wanted to take a little bit of time and put this number into perspective. Hopefully, it will become all too clear just how much this debt is and why the BS crowd’s strategy of taxing the 1% won’t come close to addressing the problem.
I should have clarified above, BS is the acronym for Bernie Sanders… potayto potahto, I guess.
According to Forbes (2017), there are 2,043 billionaires on the planet with a total worth of $7.7 trillion. That’s a whole lot of money. Let’s steal it-all of it.
If we seize 100% net worth of every billionaire on the planet, we can take our national debt down to $12.3 trillion. Now we are being responsible! But we still need more money, so what about those greedy millionaires?
In 2017, CNBC stated that there are 10.8 million millionaires nationwide. I’m already getting excited to take their money. Unfortunately, I was unable to find the total net worth of those millionaires. However, they stated:
“In 2016, there were 9.4 million individuals with net worth between $1 million and $5 million, 1.3 million individuals with net worth between $5 million and $25 million, and 156,000 households with more than $25 million in net worth.”
I’m going to calculate the numbers with something in the middle to give a basic picture.
9.4 million Americans X $2.5 million = $23.5 trillion
1.3 million Americans X $12.5 million = $16.25 trillion
156,000 X $100 million = $15.6 trillion (estimated low, because this would also include the billionaires in the US, some of which were counted in the billionaires’ $7.7 trillion)
Total = $55.35 Trillion + $7.7 Trillion = $63.05 Trillion
Now, let’s be good socialists and pay off all our debt with that $63.05 trillion (heh)
-$20 trillion + $63.05 trillion = +$43.05 trillion
Like magic, America suddenly has a $43.05 trillion slush fund!
What do we do with this slush fund? Let’s do the socialist generous thing and divide it up evenly among all 320 million Americans. We could pay every American almost $135,000!
Socialists Economic egalitarians rejoice! We just toppled the bourgeois billionaire class, furthered our commitment to the “greater good,” and gave everyone in America a $135,000 paycheck.
Now, back to reality. The reality is that this tactic of seizing every dollar from every millionaire and billionaire is unrealistic and a “best” case scenario. It ignores several facts.
First, we don’t have the authority to tax billionaires outside of the US, yet (looking forward to the return of military imperialism).
Second, much of that wealth is in the stock market. It relies on combined and continual contributions to keep the value high. Once we start taking millions of dollars out, the value of the remaining pool decreases unless new money is coming in to keep it elevated.
Third, that $63.05 trillion was accumulated over many, many decades. This makes it a one-time deal. There is no continuing Utopia to be had.
Fourth, and most importantly, this doesn’t even address the hundreds of trillions (literally) in unfunded liabilities.
All that money has been stolen for a measly one-time payout of $135,000 per American.
Let that really sink in. That money sounds like a huge amount to a socialist college student, but now what? Good luck making $135,000 last more than a handful of years.
The reality is that we cannot just tax ourselves out of debt. We must address spending,sooner rather than later. Every time a budget is proposed in Congress that cuts spending, the status quo lose their collective mind. Or… at least I believe it would, it is hard to remember a budget that proposed any significant cuts.
Or… at least I believe they would lose their minds; it is hard to remember a budget that proposed any significant cuts.
Until we get a Congress bold enough and principled enough to stand for the future of our nation and generations yet to be born, we will continue to dig the hole deeper and deeper. The Republicans use a shovel, and the Democrats use a bulldozer.
Neither of those options appeal to me.