Runaway Greed Is Destroying America: Should There Be a Lid on How Much Someone Can Make?

 Today we take the idea of a minimum wage for granted. Who knows what tomorrow may bring?

February 9, 2012

Social decency, most Americans today would agree, demands a minimum wage, a floor that keeps working people out of dire privation. Does social decency also demand a “maximum wage,” an income ceiling that discourages wealth from dangerously concentrating?

Philosopher Felix Adler certainly thought so. We remember Adler today as the tireless reformer who led the national effort to end child labor in the early 1900s. Adler also founded the Ethical Culture movement and introduced the kindergarten concept into American education. Much less well known: Adler advanced America’s first serious maximum wage proposal.

The exploitation of workers young and old, Adler believed, generated grand private fortunes that exerted a “corrupting influence” on American politics. To curb that corruption, he proposed a steeply graduated income tax — with a 100 percent top rate at the point “when a certain high and abundant sum has been reached, amply sufficient for all the comforts and true refinements of life.”

This 100 percent top rate, Adler told a packed 1880 lecture hall in New York City, would leave with the wealthy individual “all that he can truly use for the humane purposes of life” and  tax away “only that which is to him merely a means of pomp and pride and power.”  READ MORE