A liberal policy wish list for the middle class

[Mott the Hoople]

what tax reform will Democrats run on other than raising taxes?

Reinstate the estate tax to perform it’s function. Install a minimum tax rate to normalize investment income taxed at the long term capital gains rate so the wealthy who live off investment income don’t pay lower rates than those work to earn income. Raise the top marginal tax rates on the highest earners with tax credits or deductions for investment to keep currency in circulation. Reduce tax rates on capital improvements or make them tax deferrable. More liberal tax deductions for student loan debt particularly for those engaged in public service. Tax benefits for deferred profit sharing plans, increase tax deductions for companies with retirement and savings plans to provide more generous matches and contributions, tax breaks for employees stock ownership and/or profit sharing plans, increased tax breaks for employee training, are some I can think of.

 

[Irish Exit]

Provide all children with savings accounts at birth

publicly funded children’s savings accounts, which would be held until children turn 18, can help disadvantaged young people reach the middle class while also offering benefits to those who are born in the middle class or above:

This is a horrible idea. You are talking about disqualifying them from public benefits and screwing their financial aid so the banks get to pay virtually no interest on guaranteed deposits of taxpayer money for 18 years. It is nothing more than a financial sector subsidy in effect regardless of how it may look on paper.

 

[Irish Exit]

I'd go with supporting Unions, appears to be a high correlation between declining Unions and the shrinkage of the middle class. Other mentioned items as skill upgrading, expanded wages, family and medical leave are all within the scope of the Union's purpose

I'd also include tax reform, not tax cut as we just supposedly experienced, but real reform of the existing tax structure

There is also a high correlation between the earned income tax credit's creation and the declining middle class. The working poor get economically punished if they try to break through the EITC ceiling, relegating many to purposefully under-achieving. We need a softer transition off public benefits. Too often what we have is a cliff.