Taxing the rich does not do much the real problem is in the cost of housing that has been caused by an increase in lending artificially pushing the price up. The central bank was responsible for this through low interest rates. The bad problem is that people owning houses will fall foul of the interest rate if it rises and the property market will collapse. Taxing the rich will not make peoples mortgages more affordable and it is the link between property value and consumption that economist believe creates growth.
Do not buy a house you might not be able to afford, at this point with the wealth destruction that is occurring there should be more solutions for affordable housing. It is not impossible to create houses in the range of $25,000-$30,000 instead of the 60k + minimum that is currently the usual. When people realize the only thing preventing a massive recession is enormous government spending there will be changes.
I don't think you get the point I am making. I have a post here that explains it. http://www.adamsmith.org/blog/tax-a...w-interest-rates-are-creating-economic-limbo/ Do you see how the central bank intervention is preventing the normal business cycle and this is creating living standard poverty?
You are saying that the wealthy should pay more tax to take the burden from the poor. However the thing that is really making people poor is the cost of living not being reflected in wages or more importantly the cost of living staying the same as wages fall due to low rates set by the central bank.
I am reading your article now, you realize a correction in the housing market is only a temporary solution... Wealth destruction by means of trade deficit and economic policies that allow the wealthy to become wealthier while the majority become poor is a bigger problem which will continue regardless of the housing market.
Noone else seems to care about the current trade deficit, hopefully they will demand change in economic policies that will allow balancing of this deficit if we can change things in a way that will allow everyone's wealth to be effected by the decreasing wealth of the country instead of just those who are not wealthy. In order for the wealthy to profit and become more wealthy(as they are) in a system where the trade deficit is far out of balance someone has to pay. This will be the middle and lower class, and the government.
They can not reverse it they do not have the power to deal with it with tax and spend. Sorry buddy even taxing the rich won't work. They will leave or if what you are saying is right they are mainly Chinese now.
Well they do have some power as they own the largest portions of many of our companies. These corporations can stop outsourcing and importing to a certain degree. At any rate the rich have proven that they're greedy and are good at influencing economic policy to their advantage if nothing else. I'm not sure they are allowed to leave even if they have citizenship in another country would still have to pay taxes, and there's good reason for that. We all now how they achieved their wealth.(taking advantage of their country and the opportunity provided by their country)