Rich People In France Want To Pay Higher Taxes?

It's always good to see citizens of a country go the extra-mile to help their nation. Such is the tale of France right now. Wealthy citizens of France have signed a petition to their government to tax them more so as to make up for the nation's enormous debts and budget deficits. For a while now, tax rates of income and wealth have fallen dramatically; since then creating stronger incentives for people to work harder and also declare their income. As a result of this, wealthy citizens' businesses are now more successful than ever and they are now eager to "give back" to the economy.

One of their suggestions was a tax equivalent to 3% of their income which will be imposed until the budget deficit in their country was reduced to 3% of the gross domestic product. Billionaire investor Warren Buffett had stated in a piece published in The New York Times that it is time the U.S. Government took away more from the super rich. Saying that the wealthy have been caressed enough by a billionaire-friendly Congress. This idea has now been embraced by a number of European countries. Buffett and the French petitioners have used terms such as solidarity and shared sacrifice that are usually part of the lexicon of the Left. It is however, unclear whether this is a genuine move by the wealthy citizens or just a cynical ploy to escape public ire at a time of great economic distress.

Economists argue that it is regressive that the middle class should pay relatively higher income taxes and earn negative real returns on their preferred mode of savings, the bank deposit. They say this kind of taxing kills economic growth and doesn't allow for income equality.

Also, it is worth noting that the calls have come from business people who have built their wealth in activities that have not faced popular anger. In short, they are not hedge fund managers or bankers. This move by the wealthy citizens of France leave a lot to be speculated by spectators. The fact remains that this could be the best thing that has happened to the French government in almost 25 years! Obviously, the news sounds controversial, primarily for the fact that people all over the developed world are crying for less tax.

But, this might just be what the world needs to save itself from this economic downturn.