Notes from reading Income Inequality, Case and Cure by B.N. Kausik1.
The problem is basically summarized as being that the higher-income earners and high-capital owning individuals are getting a higher share of the overall income of the economy. The solution then, is to have all working individuals get a share of the capital appreciation income.
The proposal is that employers should be forced to provide a 9% bonus to salary that is invested in a deferred investment plan. The deferred investment is then payed out after a 5-year holding period. So essentially it forces all working people to have 9% extra salary invested before getting the 9% (plus investment returns) after the manditory holding period ends.
Interesting idea, basically forcing everyone to save and reap the rewards of investment returns.
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Kausik, B.N. (2022). Income Inequality, Cause and Cure. arXiv arXiv:2201.10762 [econ.GN] ↩︎
⇒ This article is also available on gemini.