Pandora's Box Research Paper

Although any politician mentioning the idea of raising taxes feels as if they’ve opened up Pandora’s Box, despite this, many have differing ideas of how to raise taxes or if to at all. Throughout American history, our economy has been an issue and the modern world is still affected from the Cold War as it has left us in debilitating debt. Many government officials believe that a major solution to the United State’s overwhelming debt is raising the taxes to the point that this has become such a controversial topic argued between the rich and the middle class. However, there are many benefits to raising the taxes on the 1% as it can contribute to redistributing the taxes. Ideally, the rich and the middle class would merge together to pay an

Additionally, the United State ranks last out of all the developed countries on the Gini Scale, a scale created to measure the scale of equality and distribution (Sherman). Much of the wealth that America holds is unevenly distributed, despite being one of the richest countries in the world, but the United States also holds the record for the largest amount of wealth inequality out of 55 countries studied (Sherman). This is due to taxes becoming less progressive starting from the 1970 and the middle class struggling to save money because of the unchanging wage growth (Bernstein). Therefore, taxing the top 1% would encourage a better distribution of wealth as it would increase the capital for the poor and create stronger economic

But when truly considering it, if taxes were raised on the rich it would minimize the large inequality gap without changing or impacting job growth or economic recovery (Fieldhouse). Also, history proves that the rich are hardly affected by tax raises because in the 1960’s, the top income rate was 90% where the economy was largely successful and the top 1% were not hurt by this either (Blodget). Furthermore, modern day tax rates are extremely low compared to the past rates, including times of an economic boom (Blodget). Those who wish to keep taxes at their current rates are the ones who benefit from it as they wish to keep all the money for themselves instead of using their taxes to help out the poor and help them gain the incentive and skills in order to have a sufficient