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Friday, April 08, 2011

The trouble with Billionaires

Billionaires have taken over the financial system, the political system, and social discourse. It's an unannounced coup.

Although some of these speeches are about Canada, most examples of billionaires, and studies of what people really want, are American. You'll hear plenty about Wall Street, the greedy Hedge Funders, and why Bill Gates doesn't deserve his exaggerated fortune.

It's the same disease of atrophied Capitalism all over the world.

Our financial system has distorted a former Democracy into a Plutocracy. And the economy does WORSE when all the money goes to the top. Examples of better times, and better places, with ideas of what we can do.

Professor Neil Brooks has taught tax law at the University of Toronto, Osgoode Hall, for 35 years.


Neil Brooks has been teaching tax law at the Osgood Hall school, part of the University of Toronto, for the past 35 years. In the speech, he begins admitting the book is another failure in a long string of failures. Brooks has been trying to get the Canadian government to introduce a more just society by taxing the wealthy more. Instead, the government has reduced taxes on the wealthy, and got rid of the estate tax, otherwise known as the Death Tax, altogether. This favors the concentration of wealth at the top.

Ironically, much of what Brooks teaches enables lawyers to go out and get even more tax breaks for big corporations. Neil says that at least one third of the wealth by the top 1 percent is never taxes or even calculated, as it moves through various loop-holes and off-shore tax havens. His book has a remedy for that.

In the radio segment, Brooks gives a quick overview of the general health of our society since the 1920's. That was the gilded age, when "Robber Barons" were well known. The 1930's Depression, followed by World War II, reduced the overwhelming fortunes of the very rich, and brought about a larger Middle Class. That balance stayed until around 1980's - when the return of Neo-liberalism, Reganism, and the alleged "trickle down effect" got money trickling upwards, and then rushing upward, into the very top one percent of the population. Poverty returned to more people, especially in America.

Actual experience, in North America and in other countries shows that taxing the wealthy less ends up creating a less just, and a poorer society overall. The economy suffers when wealth concentrates. There is much more to it, some of it shocking, but you need to listen to the Radio Program.

The second speaker was co-author Linda McQuaig, the long-time business columnist, author of a string of Canadian best-sellers, and social critic. She questions why Bill Gates, or any billionaire, should have money worth many lifetimes of work by the average person. And why have the rich taken over since the 1980's? Isn't it a coup?

In the radio program, we cut in as McQuaig talks about the former media baron Conrad Black, who once suggested Linda should be, quote, "horsewhipped." Black later hired McQuaig as a financial journalist at his newspaper the National Post. She currently writes for The Toronto Star.

That is the thorn in the side of wealthy, journalist and author Linda McQuaig. She was speaking at the Vancouver Public Library, with tax Professor Neil Brooks to announce her new book "The Trouble with Billionaires, Why Too Much Money at the Top Is Bad for Everyone." McQuaig is feisty, lively, and one of the best informed about the wealthy.

There is much more detail in the book, with names named. I could say the author's suggestions for higher taxes for the rich are spot on, but just a part of the solution. (No, tar and feathering is not the other part...)

Just look at the social disruption caused by Meg Whitman's pouring $143 million of her own money into the election for California Governor. Democracy bought out. Or the multi-billionaire Koch brothers pushing their right-wing agenda, and the Tea Party, in the U.S. While fighting off any action to limit climate disruption. Billionaires are a much great threat than we know. And we don't know, because they control the mass media.

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