Sen. Kamala Harris of California is touting tax credits. Sen. Corey Booker of New Jersey suggested interest-bearing savings accounts for newborns.
As the Wall Street Journal reports, these are just a couple ideas that have been floated by Democratic presidential candidates using the wealth gap as a key issue in the 2020 race. As the wealth gap continues to rise, liberals have proposed raising taxes on the wealthy or investing in social programs. But high profile candidates like Harris and Booker are taking a different approach: actually giving money to low income people.
These more far-reaching ideas to bridge the wealth gap have been met with criticism from conservatives who believe subsidies give no incentive for people to seek higher paying work. But supporters of these plans say the money could give people a better chance to improve their finances, and quality of life. For a deep dive into these new proposals, Larry speaks to Michelle Hackman of the Wall Street Journal. She’s been following the story.
Guests:
Michelle Hackman, domestic policy reporter for the Wall Street Journal; she wrote the recent article, “Democratic Presidential Hopefuls Amplify Income Inequality Message"
Olugbenga Ajilore, senior economist at the Center for American Progress, a left-leaning research think tank based in Washington D.C.
Brian Riedl, economist and senior fellow at the Manhattan Institute, a New York-based conservative think tank