by Fabian Kinderman and Dick Krueger
Appeared originally at Voxeu.org.
Optimal tax rates for the rich are a perennial source of controversy. This column argues that high marginal tax rates on the top 1% of earners can make society as a whole better off. Not knowing whether they would ever make it into the top 1%, but understanding it is very unlikely, households especially at younger ages would happily accept a life that is somewhat better most of the time and significantly worse in the rare event they rise to the top 1%.
Ying and Yang of Trade: Global Recession Risk Caused By Slowing Economies Coupled With the Decline in Oil Prices
Written by Steven Hansen
Consumer credit growth has been trending down down after peaking in July. Even with the backward revisions changing trends, this particular trend has been in play for two months now. In any event, year-over-year growth (ignoring student loans) is still growing at double the rate of consumer contribution to GDP growth.
by Worth Wray, Thoughts from the Frontline
“Growth demands a temporary surrender of security.” – Gail Sheehy
“When people write the history of this thing, of bitcoin, they are not going to write the story of 6 million to a billion. What is truly remarkable is the story of zero to 6 million. It has already happened! And we’re not paying attention! That’s incredible. That’s what had one chance in a million, and it already happened.”– Wences Casares, Founder & CEO of Xapo