Just in from the CBO

[Marshal Jim Duncan]

 

[aix_xpert]

I'm not sure some socialist countries are this "progressive".

Justin

 

[07pilt]

The distribution of the transfers is pretty shocking to me.

 

[Marshal Jim Duncan]

From the AEO and Tax Foundation:

It's important to note for the discussion here that the US has the most progressive tax system among all OECD countries, see the Tax Foundation president Scott Hodge's article "No Country Leans on Upper-Income Households as Much as US." Specifically, the top ten percent of American households pay 45.1% of all income taxes (both personal income and payroll taxes combined), which is the highest of any of the 24 countries in the OECD and far above the 31.6% average. Adjusting for the income share of the top ten percent, the US has the highest ratio of tax share (45.1%) to income share (33.5%) for the top decile of 1.35 times, compared to the OECD average of 1.11.

 

[aix_xpert]

Originally posted by 07pilt:
The distribution of the transfers is pretty shocking to me.

Why is this shocking? Does it not fit with the leftist mantra that the rich aren't paying their fair share?

Justin

 

[07pilt]

Did you expect to see that the poorest get less in government transfers than the rich?

I didn't think we had a very extensive welfare program (not in line with the right wing perception at least) but I expect that transfers would be the highest for the poor, not the lowest.

 

[Marshal Jim Duncan]

The govt transfers include SSI. There are a lot of wealthier people who have paid in MUCH, MUCH more to SS, now drawing checks much larger than poorer retirees.

You do realize that the original chart indicates that the upper quintile are footing 98.5% of the bill for everyone, while the lower 3 quintiles contribute Less Than Zero.

It's such a mystery why the upper 1/5 get so testy when advised they don't pay enough and that we need to make them "pay their fair share" and become more progressive.

 

[squeak]

Maybe the top quintile is full of crooks who have established a system to maintain their wealth at the expense of those in the lower quintile?

Or, maybe the lower quintile is full of a bunch of lazy people with no ambition who are fine leaching off of others?

Or, and this is my belief, both of the above are true and the ones in the middle are getting screwed by the rich and the poor.
Posted from Rivals Mobile

 

[07pilt]

Originally posted by Marshal Jim Duncan:

The govt transfers include SSI. There are a lot of wealthier people who have paid in MUCH, MUCH more to SS, now drawing checks much larger than poorer retirees.

Yeah. I think the transfer figures reflect each quintile's age demographics more than anything.

Originally posted by Marshal Jim Duncan:

You do realize that the original chart indicates that the upper quintile are footing 98.5% of the bill for everyone, while the lower 3 quintiles contribute Less Than Zero.

It's such a mystery why the upper 1/5 get so testy when advised they don't pay enough and that we need to make them "pay their fair share" and become more progressive.

That is the price you pay to keep the pitchforks and torches away when the income distribution is 15.5, 29.6, 49.8, 83.3 234.7.

 

[Marshal Jim Duncan]

"the US has the highest ratio of tax share (45.1%) to income share (33.5%) for the top decile of 1.35 times, compared to the OECD average of 1.11"

 

[07pilt]

Originally posted by Marshal Jim Duncan:
"the US has the highest ratio of tax share (45.1%) to income share (33.5%) for the top decile of 1.35 times, compared to the OECD average of 1.11"

Yes the US has the most progressive tax system and the least progressive transfer system. The US system (as a whole) is far less redistributive than the average OECD country.

 

[OSUGD]

Hate the household income statistic. There are some multiple more people living in the higher quintiles than the bottom quintiles. Lower quntiles are single moms, higher quintiles are households with 2+ professionals living in them.