I'd tax all stock transactions at .25 per share (that is twenty five cents
per share sold -- and yes, it will pretty much kill penny stock fraud) for a year, all bonds (including discount mortgage bonds) at a
dollar each.
I'd tax everyone tied to discount mortgage paper 95% of their income above
$500,000.00 a year until they had paid in surplus taxes 150% of what they made
from selling this fiasco. I've already seen the clawback on AIG -- they got a billion, they paid back 115 million and walked away.
I'd also raise the gas tax by fifty cents a gallon and send the money
straight to the highway trust fund for rebuilding the infrastructure and the
bridges that are getting ready to fall down.
Finally, the social security withholding, I'd charge it on capital gains
and every other form of income, and I'd remove the cap, so that it would apply
to all income, and without a cap.
I'd also institute zero basis budgeting, so that there would be significant
limits on spending -- budgets would not adjust for changes in the consumer price
index or anything else (which means, cancel the drug benefit until it gets funded). I'd probably not pay for any treatment for type two diabetes other than oral medication and diet advice. Non-compliant diabetes would not be paid for by the taxpayers.
That way:
1. The financial markets would be taxed to pay for the terrible problems
we are now in because of them.
2. There would be a reconnection between risk, profit and accountability
-- and the probability that if anyone got a similar mess rolling they would
catch the same sort of response.
3. Our roads would go back to being safe to drive on and building roads
would start to get caught up again.
4. Social Security would head back towards solvency.
5. More bite into balancing the budget and capping spending, including
entitlements.
I'm pretty sure no one would vote for me. After all, my platform would
be:
Vote for me, I'll raise your taxes, I won't give you anything you haven't
paid for, and I'll start holding people responsible.
Worse, I'll slow down financial markets (the tax, even though small, would do that).
Obviously, this is just off the cuff, but it is the heart of the sort of thing I think people need to hear.
