Bernie’s Plutocracy Prevention Act

Chuck Collins

Chuck Collins Scholar, Institute for Policy Studies

The Republicans can’t control their baser greed impulse, as revealed in their latest move to abolish the federal estate tax, our nation’s only levy on the inherited wealth of the super-rich.

But what we really need is a bold intervention to break up growing dynasties of wealth and power.

Congress should jump on board an improved estate tax introduced today by Senator Bernie Sanders, that would levy a top rate of 77 percent on inheritances over $1 billion. Sanders bill, The For 99.8% Act, would also plug up loopholes and ban trusts that wealthy families use to hide and perpetuate wealth dynasties.

The estate tax, established by Congress a century ago to put a brake on the build-up of concentrated wealth and power, is paid only by a miniscule sliver of billionaires and multi-millionaires. At the time, Theodore Roosevelt supported the estate tax as a protection against the “tyranny of plutocracy.”

Sanders estate tax proposal is a plutocracy prevention act, squarely aimed at preventing the children of today’s billionaires from dominating our future democracy, economy, culture and philanthropy.

In December 2017, Republicans failed to abolish the estate tax as part of their $1.5 trillion dollar tax windfall for the superrich and a handful of transnational corporations. But they did raise the exemptions of who will pay the tax.

In 2019, fewer than 2,000 households will pay the tax, starting with couples with over $22.8 million (individuals with over $11.4 million).

Earlier this week, Senate leader Mitch McConnell and Sens. Charles Grassley (R-Iowa) and John Thune (R-SD) introduced the “Death Tax Repeal Act of 2019.” It is worth noting that the number of annual taxable estates in their home states of Kentucky, Iowa, and South Dakota are fewer than two dozen.

A Moral Imperative

A Moral Imperative

Union Matters

Fighting to Fix the New NAFTA

From the AFL-CIO

For the better part of a generation, our global trading system has been rigged to enrich corporations at the expense of working people—and no deal has done more damage than NAFTA. We are hungry for a North American trade deal that lifts wages and improves livelihoods. The new NAFTA, also known as the United States–Mexico–Canada Agreement (USMCA), as proposed falls short, and that’s why America’s working families will keep fighting to fix it.

Here are three reasons why the labor movement opposes the new NAFTA:

  1. There is nothing in the current deal to fix the outsourcing of good-paying American jobs to Mexico and other low-wage countries. 851,000 U.S. jobs were lost already due to NAFTA.
  2. Unless Mexico finishes and implements full labor reform and stronger rules and enforcements are added to the NAFTA text, Mexico’s workers will continue to face wages as low as $2 per hour or less and receive no protection from threats and violence when trying to unionize.
  3. Monopoly rights for Big Pharma would keep drug prices sky high, and new rules would undermine protections such as workplace safety.
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