Is the US a secretly socialist nation?

If asked about the economic politics of the US, you’ll probably think of them as relatively conservative, right-wing, and capitalist.  You hear of the richer becoming richer, and a growing underclass of the very poor who do not have access to any sort of financial safety net.  To accompany this lack of social benefit, you hear of how wealthy, successful people are attracted to the US because of their favourable tax systems. Continue reading “Is the US a secretly socialist nation?”

Disincentivising high incomes

A 50% tax rate was introduced to the UK in April 2010, to apply to all earnings over £150,000.  This high tax rate was devised to raise additional income for the treasury by increasing the payments made by the highest earners, therefore increasing the Robin Hood effect of income tax.

However, it is likely that this higher tax rate is unlikely to increase tax receipts to the degree that the government would like.  Continue reading “Disincentivising high incomes”