July 27, 2018
A sweeping budget plan by the Congressional Progressive Caucus provides an insight into the policies liberal Democrats are developing in anticipation of potential electoral victories this November and in the 2020 elections.
Areas of interest include:
How it would be funded: Among many other new taxes, the bill would impose a tax on financial transactions, including stock, bond, and derivative trades—enough to net $1.8 trillion over ten years, according to the bill’s authors. Further, the top marginal rate on millionaire households would be increased to 45 percent, rising to 49 percent for households with over $1 billion in annual income, and capital gains would be treated as ordinary income for tax purposes.
Impact TBD: If the Democrats capture at least one house, expect hearings on at least some of these concepts. Meanwhile, Democrat candidates from the Democratic Socialist wing, who have scored some notable victories in the primaries, will press for even greater changes in these areas, such as a single payer health care system.