Category Archives: Money and risk

Income inequality and the Rule of 72 – part 2

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The first part of this series of posts showed how small differences in average pay increases over time can explain much, if not most, most of the wide spread of income growth cited as evidence of income inequality. The question addressed in this part is whether the historical record supports this assertion. Part Three, in the queue, will look at… Read more »

Income inequality and the Rule of 72 – part 1

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Income inequality is an issue fraught with political stake-in-the-ground positioning, but there is some very basic math that, if understood, deflates a lot of the political grandstanding from either side. If we get the math out of the way then perhaps the policy implications and choices become clearer. The first principle applied here is that nature itself does not usually… Read more »

Progressive or conservative? No, “payday lender.”

I have been working on a three-part post about the math of “income inequality” which goes online tomorrow and over the next week. I think it takes an important and different tack from other viewpoints. Hint: the newest tax law will only make income inequality worse. I am still banging my head trying to pin the “Tax Cuts and Jobs… Read more »

Here is how you really simplify taxes

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In an earlier post from January 9, I noted how the most recent change to the U. S. tax code makes compliance more complex, not less, for many taxpayers, and certainly for businesses. In this post, I will lay out some opportunities for truly reducing tax complexity. For the vast majority of ordinary taxpayers, the “quick-hit” route to simplification is obvious…. Read more »

Why your taxes won’t get simpler

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A major part of the public relations sell accompanying the “Tax Cuts and Jobs Act of 2017” was the idea that Americans would be soon be submitting their taxes on a postcard. The mock-up of the postcard was trumpeted by politicians well after it became patently obvious to most tax professionals that this was not going to happen. In this… Read more »