Paul Mason’s cure for the British economy

So, if you want to prevent wealth flowing from productive people to the elite, you have to restructure the economy. You have to stop believing £24m annual paydays are the result of an accident. You have to make property speculation a crime and pursue policies that can suppress boom and bust, whether it is in the property market, the stock market or any other market.

And you have to tax assets, not just income. Executive pay is structured around share options, not just salaries and bonuses, because it is more “tax efficient”. A tax on shares held; a tax on the value of property designed to stop it rising faster than GDP – these are the measures that would actually work. Plus, make a positive case for rent controls.

If Jeremy Corbyn’s Labour can become the first advanced-country government to suppress the causes of obscene executive pay, it will reap a massive first-mover advantage. The property market will stabilise; housing will become affordable as billionaires – foreign and domestic – take their money elsewhere. The stock market then will move in line with the real economy, not the fantasy economy created by a shortage of housing and a glut of money.

Finally, the overpaid elite will drag their sorrows through the world to another jurisdiction. Personally, I cannot wait to see them go.

Err, yes, yes.

Let’s drive capital out of the country then Paul. Because, you know, it never does anything and we’ll not miss it when it’s gone.

Anyone remember the last time we had socialists in charge? They had to ban capital from leaving the country because it did actually make a difference…..

11 thoughts on “Paul Mason’s cure for the British economy”

  1. If your assets are taxed and you have no income, how do you pay the tax? You have to sell the assets, ultimately resulting in you having no assets. That’s the ultimate aim of this, removing people’s assets.
    That nibbling away is feasible if your assets are money, but what if your assets aren’t infinitely divisible and fungible? We already have that system with Council Tax. If I have no income how do I pay my property tax? Slice off the kitchen and sell it? And then next year? Strip the lead of the roof and sell it? And then next year? Strip out the copper wiring and sell it?
    Asset taxes are highly illiberal and highly regressive. Such an asset tax only works if there’s an income coming from that asset – and then it’s just an income tax.

  2. So Much For Subtlety

    jgh – “If your assets are taxed and you have no income, how do you pay the tax? You have to sell the assets, ultimately resulting in you having no assets. That’s the ultimate aim of this, removing people’s assets.”

    Well yes and no. The point of most land taxes is not to make you sell but make you make the asset productive. If you need to pay a tax on it, you need to do something with it. A grandmother sitting in her former husband’s house has a lovely asset but it is not making any money. Slap a land tax on it and she will have to sell up or rent it out or in some other way make productive use of the land.

    Which is why I am opposed to a UBI. We should tax people instead. Then they have to make themselves useful or go to jail. If we pay them to do nothing, some will do a lot less.

  3. Political policies to stop boom and bust?

    Has the Bottler been resurrected? Re-bottled so to speak?

    I know socialist scum are stupid but this is equivalent to chip shop that is trying to resell left over fish/chips etc salvaged from the bin outside the shop door and re-heated. Indeed such a meal would seem palatable indeed compared with this leftist fuckwit’s “Let’s all play Venezuela” D-I-Y kit.

    The Guardian. Shut The Shitrag Down. TG:STSD for short.

  4. To misquote Sterling Archer “Look, Lana, he think’s he’s productive people”.

    How many decades has Mason been working in a job where he got money under threat of violence? He then moved to C4, which doesn’t make money. He’s now writing for the Guardian, and like the rest of them, draining the Scott Trust money.

    I mean, how often did you hear your Nan saying “oh, I love that Paul Mason on the telly”.

  5. ‘If Jeremy Corbyn’s Labour can become the first advanced-country government to suppress the causes of obscene executive pay, it will reap a massive first-mover advantage.’

    I think Venezuela has beaten them to it (or indeed some would say France) – any ‘First mover advantage’ to either of those jurisdictions – oddly he has the kernel of a point – too many contracts for executives seem to pay out high rewards come rani or shine – and I would question what some remuneration committees worth is based on some high profile failures across all sectors. However, setting up a load of Murphyites or Toynbeeites who have spent their entire career leeching of the taxpayer or being the beneficiaries of family or inherited wealth run the rule over executive pay is an idea as ludicrous as it sounds.

    ‘The property market will stabilise; housing will become affordable as billionaires – foreign and domestic – take their money elsewhere.’

    Really – we have a shortfall of around 100,000 homes per year and half the world is on its way to ‘Treasure Island’ (as the People smugglers call it) – I don’t think kicking out the millionaires and billionaires will amount to a hill of beans without serious reform of the planning system and a review of immigration levels but that would be outside Mason’s remit.

    ‘The stock market then will move in line with the real economy, not the fantasy economy created by a shortage of housing and a glut of money.’

    Oddly here he is right – In the event of a Corbyn regime, what is left of the FTSE 100 should tumble to 1970’s levels as a prelude to nationalisation. From recollection the Soviet union had no Stock exchanges and I believe there is no Stock market (although private markets for goods exist) in North Korea so the long term goal for Mason and his ilk is clear.

    Nevertheless, in spite of all this – I think many on this thread have reason to be grateful to Mason – his bizarre rant against Boris 4 weeks ago on Question Time probably put 2 to 3% on the Brexit vote and started the momentum shift we now see. I think people who saw that clip looked at it and said ‘screw this tosser- I’m with Boris’ – so i think the nation may owe him an odd debt of gratitude…..

  6. “You have to make property speculation a crime.”

    I would be interested to see the precise legal definition he intends, as otherwise most of Parliament and a fair chunk of the Guardian elite will end up inside.

  7. Rob,

    > I would be interested to see the precise legal definition he intends

    Take a look at the landlord / second homes stamp duty surcharge. It’s a dogs dinner of legislation, but they still managed to do it. I’m sure the Treasury are quite capable of creating a similar turd to ban speculation.

    Incidentally, I think Britain’s housing market doesn’t have enough speculation. Let’s say I find a house in poor condition worth £500k. I could do £50k of work and bring its value up to £600k. But merely buying and selling the property incurs £35k in stamp duty, leaving a slim profit margin of just £15k (easily eaten up by other costs). As a result the work doesn’t get done and the house remains a dump.

    Scrapping stamp duty would therefore improve the quality of our existing housing stock.

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