The Future of Consumption: The Solution

Let our journalists help you make sense of the noise: Subscribe to the Mother Jones Daily newsletter and get a recap of news that matters.


To: consumerforum@motherjones.com
From: max_sawicky
color>

Money spent by businesses for advertising reduces their net income. It is a cost of doing business and therefore should remain a deduction. Income received by those in the advertising business is and will remain taxable as income.

It is possible to construct a progressive consumption tax. This would be accomplished by allowing a deduction for net savings on a personal income tax form that would resemble the present one. The corporate income tax would be replaced with a value-added tax. There could be graduated rates, a generous standard deduction, and full taxation of inheritances. The interested reader is referred to recent books by Lawrence Seidman and David Bradford.

There is also a place to talk about environmentally motivated taxes (EMTs). In fact, these go more to the interests that spurred this discussion in the first place than taxes on consumption in general. As with consumption taxes, EMTs can be regressive and raise legitimate issues of fairness.

As I noted in a previous post, taxing or otherwise discouraging consumption doesn’t necessarily solve any problem we’ve discussed, since the money saved by forgoing consumption could spur spending by businesses on plant and equipment, leading to faster economic growth and more consumption down the line.

In closing, I would reiterate that the right focus, politically and on the merits, is on how to direct growth into socially beneficial directions, not on how to hold it back.

Happy holidays,
Max Sawicky

To: consumerforum@motherjones.com
From: bill_mckibben
color>

I’d just bow out with the simple observation that living a little more lightly on the earth does not detract from doing any of the other necessary things that need to be done—from fighting global warming to taking on poverty to…whatever. In my experience, it just makes you a little lighter and more fit for those fights, and fills your own life with a bit more joy. If that’s selfish, so be it. Happy holidays, all.

Bill

The Forum Part II: Searching for Solutions 1 2 3 4

The Forum Part I: Defining the Problem

DOES IT FEEL LIKE POLITICS IS AT A BREAKING POINT?

Headshot of Editor in Chief of Mother Jones, Clara Jeffery

It sure feels that way to me, and here at Mother Jones, we’ve been thinking a lot about what journalism needs to do differently, and how we can have the biggest impact.

We kept coming back to one word: corruption. Democracy and the rule of law being undermined by those with wealth and power for their own gain. So we're launching an ambitious Mother Jones Corruption Project to do deep, time-intensive reporting on systemic corruption, and asking the MoJo community to help crowdfund it.

We aim to hire, build a team, and give them the time and space needed to understand how we got here and how we might get out. We want to dig into the forces and decisions that have allowed massive conflicts of interest, influence peddling, and win-at-all-costs politics to flourish.

It's unlike anything we've done, and we have seed funding to get started, but we're looking to raise $500,000 from readers by July when we'll be making key budgeting decisions—and the more resources we have by then, the deeper we can dig. If our plan sounds good to you, please help kickstart it with a tax-deductible donation today.

Thanks for reading—whether or not you can pitch in today, or ever, I'm glad you're with us.

Signed by Clara Jeffery

Clara Jeffery, Editor-in-Chief

payment methods

We Recommend

Latest