, 5 tweets, 2 min read Read on Twitter
This is a good discussion of AOC's call for a top tax rate of 70-80%. Tl; dr: she's actually saying what top public finance economists have been saying for some time. Not at all outlandish. 1/ washingtonpost.com/business/2019/…
A small quibble is that many wealthy Americans also face state and local income taxes, and that the Diamond-Saez calculation should include sales taxes as well. My rough estimate is that high-income New Yorkers already pay 55-60% marginal rates. But her economics here is fine 2/
And let's contrast it with what everyone on the Republican side claims: that lower marginal rates on top earners have huge economic benefits. This has no basis in economic research, or in evidence 3/
Here's the top marginal rate versus the 10-year growth rate in per capita GDP (right axis) since WWII (using 10-year to smooth out business cycle). No relationship, or if anything positive 3/
So even as Rs dunk on AOC as stupid or ignorant, she's talking sense based on reputable economic research, while the whole GOP is talking nonsense from charlatans and cranks. (But she dances!) 5/
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