The 70% top tax rate, explained with potatoes Donald Trump's threat to dismantle 2 days ago   03:47

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Congresswoman Alexandria Ocasio-Cortez called for a 70 percent top tax rate on the super rich.

Start by watching our explainer on the marginal tax rate: https://ufl.ae/videow/LZxizKFTkbm

While it might seem like a radical idea, it's actually based on an economic theory that tries to make everyone as well-off as possible.

How can we make all citizens as well-off as possible? That's the simple question behind something call "optimal tax theory." It starts from this idea that, to a rich person, one dollar is worth almost nothing. Take away the dollar and he'll be just as well off as he was before. But that dollar is worth a lot to poor people. So, if the government wants to optimize the well-being of its citizens, it should tax that money from the rich and give it to the poor. But at a certain point, we can't keep taxing the rich more. To find out why, watch this video.

https://www.vox.com/policy-and-politics/2019/1/4/18168431/alexandria-ocasio-cortez-70-percent

https://www.vox.com/policy-and-politics/2019/1/7/18171927/alexandria-ocasio-cortez-60-minutes-trump-racist

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Comments 4078 Comments

Vox
Hi! We've gotten some comments pointing out that this video should do more to explain marginal tax brackets. Agree that's support important, which is why we already made a video about it: https://ufl.ae/videow/LZxizKFTkbm. Show this to anyone who says the government wants to tax people at 70% overall!
CheesecakeLasagna
Europe has been doing this for so long. It's very logical, tbh.
SupriseSuprise1
The 70% tax rate will result in a capital and immigration flight in the country. Wealthy business owners will leave the country. This will result in huge unemployment.
Joseph Gillespie
How condescending can you get?
Captainnn85
I’m an upper middle class Caucasian guy from Glendale California . And I just say... almost fair enough . Settle at 59%
mohanad moumen
it is so resast to make the poor farmer darker than the rich one
Toby Linville
People have always believed their economy is simple, and people fight hard for what they believe, especially when they are wrong.
T.
Everything about this video is false.
Also, I dare you to put a strike on my channel, Vox
outbackeddie
So basically you condone a socialist type of government that takes from each according to their ability and gives to each according to their need?
Marcel Overlorx
Here's the thing she wouldn't actually do this because her party actually supports the bigger business😶😶😶
Ryan VanGelder
68%~.......lol idk just made it up
recentlyreformed
Not everyone can be as well off, sorry, that’s life.
Seth Freeman
Everyone is wrong. We understand marginal tax and what you are trying to attempt. The bigger picture is, you want the GOVERNMENT to tax the PEOPLE more to benefit others. That's not how it works. Taxation is theft. Just because one person is extremely successful, does not mean we get to ride that person's coat tail to benefit ourselves.
True Skywalker
1. Love how the rich farmer is white and the poor one is mexican

2. They won't take 1 potato from each but take a percent of the total
Each of them have. So if the rich one had a 100, the poor had 10, and were both taxed 20%, the rich would pay 20 while poor pays 2

3. What they won't tell you is that you will still be taxed on the 10 million. So if you make 10mil with 1 dollars and normal taxes are 20%, you would pay the 2 million and also the 70% of that extra dollar.
ItzBumble
So basically your plan is to take from the rich who worked hard to earn what they did at a higher rate? This is why rich people outsource their money.
Rory O'Brien
So taking and redistributing wealth?
parodysam
The super rich would go down kicking and screaming, this will never happen
Luke Ellis
I mean don’t people usually get money by earning it? I get “sharing the wealth”. But for someone who works hard for their money isn’t it true that they earned money by their experience? I know what I say sounds jumbled up and unorganized but I’m just so curious about different things. I want to grow and become someone to earn money and someday not have to worry about high taxes and a lot of debt.
Josh T
Hey where is Ireland
Sergio Rios
Dumbest intent of an explanation of the day !!! Keep it up you might win the same title tomorrow
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Donald Trump's threat to dismantle The 70% top tax rate, explained with potatoes 2 days ago   03:52

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NATO has helped keep the peace in the Northern Hemisphere for more than half a century. Donald Trump is threatening to dismantle it. Read more from Vox's Zack Beauchamp: http://www.vox.com/2016/7/21/12247074/donald-trump-nato-war

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