Millennials Like Socialism — Until They Get Jobs
. . . and find in the robbing Peter to pay Paul game, they are Peter. They will like it even less once they have to start paying for all those wealthy Boomers retirements, medical costs, etc.
"Millennials are the only age group in America in which a majority views socialism favorably."
Of course they do. Families are socialist in nature, and the children are takers, not earners. But once they learn what it is like to work for pay, they begin to change their minds.
"So what does socialism actually mean to millennials? Scandinavia. Even though countries such as Denmark aren’t socialist states (as the Danish prime minster has taken great pains to emphasize) and Denmark itself outranks the United States on a number of economic freedom measures such as less business regulation and lower corporate tax rates, young people like that country’s expanded social welfare programs."
Also unsurprising, since these people have little savings, they feel insecure. The American system is based on the atomized nuclear family, where each individual or couple is economically separate, and independent from others including their family. This creates a dynamic economy since each nuclear family must achieve to support itself, but it also creates a high level of insecurity. Traditionally this was solved by lots of hard work. Since the welfare revolution back in the 1930s, we have seen ever more welfare, or security spread across the land. The Millennials believe it is appropriate for them to access some of this security to assuage their feelings of insecurity.
This is likely the least efficient way to solve this problem. A better way would be to create, and fund personal tax favored (and bankruptcy protected) accounts which will allow the individual to create a personal welfare buffer. While the government will need to backstop such a program, it would go far to reform the welfare system in a positive manner.
Another mechanism to address this would be a minimum income formulation (this can be used in conjunction with the tax favored account model). This should be accompanied by the elimination of the income tax, the corporate tax, the payroll tax, and the estate and gift tax. Then a minimum income could be instituted where individuals so needing would have to access the funds by agreeing to pay income tax. Of course, this "tax" would be negative while the individual's earning were below the minimum income level, and once near or above the individual would simply stop participating in the voluntary income tax and no longer receive minimum income funds. Payments would be direct deposited into one of the above tax favored accounts.
This would eliminate the income tax for those who make a living wage, and only require it for those who do not, and who wish welfare income supplementation. The unpleasant nature of the income tax, the penalties, and other issues would likely limit who would be willing to seek this assistance to those who need the assistance.
The real benefits would be the total elimination of the federal welfare state, and the elimination of the income tax, corporate tax, etc.
The benefits of this would be huge. Just the billions of dollars saved in tax preparation costs would be huge. Plus, without these taxes, there would be no need for offshore tax avoidance schemes, or the myriad corporate tax dodging schemes. The tax would become a consumption tax, and everyone from businesses, to illegal immigrants would pay their fair share. The minimum income would eliminate the need for a minimum wage, and most of the other inane employment regulations.
These changes would make businesses more competitive, and bring businesses to America. We would have an onshoring "problem" with businesses, not an offshoring problem, since there would be no corporate income tax to push business to incorporate in foreign nations with lower tax rates. Nor would Apple have an incentive to anchor income offshore.
The problem? Not enough graft, and corruption for the politicians. This is nearly always the reason simple, effective, and efficient political changes never happen. Add to that we have the worst political class in history, and one might despair. However, the current government pension and inefficiency/funding crisis is likely to result in wholesale change to our body politic, and our underlying political, and governmental institutions. I suspect this will offer us the ability to move from the now decaying progressive system to a more vibrant economic, social, technological model.
Hat tip: Instapundit IT’S USUALLY LIKE THAT: Millennials Like Socialism — Until They Get Jobs.