Poverty Profit Model

31 Oct

Corporations and the top 1% successful pursuit of profits is a great thing, but in order to combat the tragedy of the commons we must also directly tie their fate into the fate of the country. Why not tie corporate tax rates to a multiple of the poverty rate. And have this money set aside by the government to be managed and deployed by a certain subset of corporate leaders (spent in ways to lower poverty). And if they are better able than the government to manage this money to lower poverty, then their tax rates will decrease accordingly. So for example, if the poverty rate in the US is 20%, with 20% of the people under the poverty line, then the corporate rate would be taxed at, let say 3 times the poverty rate…making their tax rate 60%. In this way they will have a vested interest in lowering poverty in the US. And as they find creative ways to help lower poverty in the US they save on their taxes, enabling people to spend more and everyone benefits. So if they then invest (their creative genius) to lowering poverty to let’s say 5% then they would only get taxed at 15% and the lower rate they pay in taxes would be offset by more people being out of poverty who are now paying more taxes.