I’ve been quite skeptical of the value of Warren Buffett as a key advocate for Democrats around tax policy and social spending (see: here, here, and here). While Buffett is supportive of the not-bad idea that rich Americans should pay higher taxes, he’s been either vague or advocated small increases – while coupling his tax positions to advocacy for cutting spending, including for the social safety net.
On Sunday, to much fanfare, Buffett penned an op-ed arguing for a minimum tax for the wealthy. But his suggestion is fairly small bore: “I would suggest 30 percent of taxable income between $1 million and $10 million, and 35 percent on amounts above that.” I’m in favor of it as it’s an improvement over the current tax structure, but this is hardly a proposal that merits rampant celebration from the left.
If you have any doubt that this is nothing more than a proposal which would provide the patina of progressive taxation with an eye towards reducing inequality in the US, look no further than Buffett’s comments today, in which he says that of all the people in America, JP Morgan Chase CEO Jamie Dimon would be President Obama’s best choice for a new Treasury Secretary.
Given we are still suffering from the damage inflicted on the economy by Wall Street banks, including Dimon’s JPMC, in the inflation and bursting of the housing bubble, the idea that Dimon would be a good pick for Treasury Secretary is just bonkers.
I’m glad there are people like Buffett who have the courage to say that they are wealthy enough to afford higher taxes. But just because he throws out a tiny morsel clinging to an old, dried-out bone doesn’t mean he’s someone to be elevated a spokesperson for the left in these debates.