[recursivedoubts]

Capital gains should be taxed as straight income. We should favor dividends over capital gains, which are harder to game with debt, PE burnouts, etc.

Inflation should be low and we should make it in the interests of the rich that it stays so.

[Analemma_]

> Inflation should be low and we should make it in the interests of the rich that it stays so.

The prevailing opinion of a lot of progressive economists is just the opposite: standard policy for 40 years post-Volcker was to run with low inflation, loose money and slack labor markets, and probably all this did was keep wage growth depressed.

The brief inflationary period in 2022-2023 was fantastic for low-income workers, it was the only serious growth in real wages they'd seen in a half-century. But voters revolted and probably guaranteed we'll go back to the low inflation, high unemployment policy for another generation at least.

[msgodel]

Growth in wages is meaningless if inflation consumes it.

My opinion is that inflation is generally a bad idea but the thing that really matters is inflation volatility. The market will adjust for whatever the inflation rate is (unless its extreme) but volatility just results in loss.

[Analemma_]

That's why I specifically said real wage growth. In 2022-2023 wages for the bottom ~35% of workers increased at their fastest rate after accounting for inflation. Inflation-adjusted wages for the middle ~40% were basically flat and decreased for the upper quartile. And since that last cohort is the one which dictates policy, they'll make sure it won't happen again.

[ponector]

You shouldn't want a low inflation with such massive pile of debt, both personal and government.

[recursivedoubts]

I do want low inflation, as well as a debt jubilee[1] and a system reset to a sustainable economic model not based on usury.

[1] - https://michael-hudson.com/2020/12/jubillee-perspectives-wit...