A new, non-partisan study by Thomas Hungerford of the non-partisan Congressional Research Service confirms that the explosion of income inequality over the past 15 years is fueled by rapidly rising income from capital gains and dividends.
In other words, wealthy beneficiaries of low tax rates on capital gains and dividends are doing extremely well—and their runaway wealth is a major driver of income inequality. There’s a lot of that money out there that could be taxed as ordinary income—as Obama and Dems want—as a way to avert the sequester, which could badly damage the economy. Republicans oppose this.
Read the rest of Sargent's piece New Study Badly Undermines GOP Position on Sequester.
Working families are calling on their elected representatives to protect Social Security, Medicare and Medicaid from benefit cuts, cancel the sequester and close tax loopholes on the wealthiest 2% and corporations.
Learn more at www.aflcio.org/protectourfuture.