American Billionaires Call For Upgrades To Capitalism, Starting With Higher Taxes On Themselves

Capitalistic economies are always accused of increasing inequalities. Now the richest have opined that the current version of capitalism is not accurate.

Some of the famous industrialists and the noted wealthy people like Warren Buffet, Jamie Dimon, Ray Dalio, Howard Schultz, and a few others have demanded solutions for the increase in income inequality. They aim to set right the low scales of investment in essential services like public education.

It is evident for us that the capitalistic system made them rich. Now they have demanded reforms. They are less bothered even if these reforms can bring a huge tax burden on them.

The existing capitalistic system is often criticized by Hedge fund giant Ray Dalio who is also the founder of Bridgewater. He has informed CNBC that he does not aim at destroying the full system of capitalism. He feels that it does not create an equal opportunity for all citizens. Dalio feels that public education can help achieve this.

In a recent interview this Monday, he certified himself as a professional capitalist. He revealed that he started from Zero and reached the current level only through the capitalistic system. He says that the wide gap in income has caused pain for politicians as well as billionaires.

Such a wide inequality was found in the late 1930s. Dalio says that the total wealth of the bottom 90% population does not even come to 1% of the wealth of the top richest population. He has suggested public-private partnerships so that money becomes more productive and useful for society at large.

Jamie Dimon, the CEO of JP Morgan has proposed higher taxes on the top 1% richest. He feels that the wealthy do not have anything to lose by improving the economy. Even Gates, Melinda, and Abigail Disney are on the same line of thoughts. These changes can bring affordable housing, infrastructure and other good initiatives in the society.

Capitalism Vs Socialism

Looks like entire Washington have split opinions on this regard.

Many prospective presidential candidates favor higher tax rates on the wealthy. Yet, Trump views this as a stunt to adopt Socialism in the country. Supporters of GOP lowered tax rates feel that it would push up the economic growth. Such supporters are fewer.

Cooperman is different. Though he is willing to donate his wealth, he wants every dollar to be spent for a meaningful purpose.

The billionaire team prefers a higher rate of taxes rather than socialism. They do not want to completely give up capitalism. They aim at changing the system for common good. Socialism, on the other hand, can result in stagnation and corruption. The proposed slighter change to capitalism can bring education standards to a high level. Such a good initiative will result in heavier fines for the rich. Yet they are found to accept it. They consider it as their duty and contribution towards paying the society back. Education can bring true freedom. Thus, it can result in a true enterprise.

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