Comment by interestpiqued
Comment by interestpiqued 4 days ago
This only works if stocks go up, up, and up. Otherwise they will have to realize gains at some point to pay off the loans.
I don't get why we have to jump all the way to a wealth tax, could they not just force asset backed loans to trigger a tax? This seems way more targeted and we won't have people assessing what everyone is worth. I think it would avoid some unnecessary precedent setting. They could put the impetus on the billionaire taking the loan to state what the assets are worth and related gains.
While I think I actually support this, does capitalism not cease to function if you put barriers in place to prevent the growth of capital. Think trying to get that passed would be even harder than a wealth tax.