If we confiscated ALL the wealth from the top 1%, would it be enough to pay off our national debt?

Photo above - Did you know that Gavin Newsom flew uninvited to Davos this week for a photo op? He didn't have a ticket, and apparently couldn't get in.

Today I was going to link to one of those articles about wealth inequality in America. (Full disclosure – I’m apparently in the bottom 50%). The top 1% control $50 Trillion. But would that be enough to pay off the national debt?

Barely. The national debt is $38 trillion today, closing in fast on 39. So yes, grabbing all those stocks and bonds and land and whatever from the top 1% might do it. But that’s only because the stock market is up 16% for the year. When you take THAT into consideration, it looks scarier. And America's 2025 federal budget shortfall is $2 trillion, so paying the national debt all at once doesn’t actually fix it forever. Congress is continually spending trillions more every year than people are actually willing to pay in taxes. So grabbing all the money of rich people, all at once, won’t work.

How about if we increase the personal income taxes on rich people, instead of just draining their bank accounts? Let’s broaden the definition of rich to include the top 10%. Which isn’t as rich as it seems. You only need a household income of $99,000 (after normal deductions) to preen and crow about being in America's top 10%. Wow – I’m more than halfway there!

But I still can’t afford to buy a house.

Top 10% of earners in America already pay almost all the taxes. 72% of federal income tax. Should they pay more - 90%? Will that fill the $2 billion federal spending crater? If it doesn't, where do we go from here?

As I write this, Congress appears to have learned nothing from last year’s “longest government shutdown in history”. A repeat may arrive as early as next Saturday (January 31). If you believe shutdowns are a stunt to pander to your voter base, and have nothing to do with solving the budget deficit, you're not alone.

America’s geopolitical adversaries are loving this. Russia, mired in a 3-year war it can’t win, with a ruble worth 1.3 cents. China, with vast empty cities full of apartment skyscrapers in the middle of nowhere, and wanted by no one. America is making it a hat trick for governance dystopia. We can’t build affordable houses, but we cannot STOP building military bases. And expanding entitlements. Apparently we can’t even grow America's electric grid fast enough to keep the lights on, if a data center pops up in some nearby some neighborhood.

I don’t expect anyone to come back from Davos with brainstorms on how to fix America’s problems. Not Trump, or even Newsom, who jetted off there too, hoping to use the conference as a 2028 presidential campaign photo op. (He didn’t have a ticket and was turned away).

America will probably suffer as long as we keep electing politicians who think the first answer to every headline is more spending. And who instinctively understand that defense contracts, rent subsidies, tax rebates, and walls not paid for by Mexico are the surest route to re-election.

I’m just sayin’ . . .

What Percentage of Taxes Are Paid by the Top 10 Percent? - LegalClarity

https://www.msn.com/en-us/money/markets/the-wealth-gap-in-america-just-widened-even-more/ar-AA1UJFMQ?ocid=msedgntp&pc=HCTS&cvid=69721c2e9e54417182f13877b671f71a&ei=46

wildbill83 · 41-45, M

People make the common mistake of believing that any government is fiscally responsible; they're not and never were.

Think of them as teenagers or people with a gambling addiction. Giving them more money won't pay off any debts, they'll just find more ways to spend it.

When I worked for NC/DENR, the park system was appropriated a certain amount of money for the year; if they don't spend what they're given, they receive less the next year (works the same way for most government I imagine). So obviously they're gonna spend every penny, even on shit they don't need/will never use.

wildbill83 · 41-45, M

In other words, raising taxes, taxing the rich more, etc. would only give politicians an excuse to raise their own salaries and give themselves more bonuses. Would have absolutely no effect on national debt.

SunshineGirl · 36-40, F

@wildbill83 People vote for low levels of tax and high levels of public service. Politicians fear speaking truth to their irrascible electorates and are left trying to perform conjuring tricks.