‘Eat the Rich’ — Wealth Disparity Comes to a Head in COVID New York
As the state with the largest wealth gap in the country, disproportionate pandemic losses for the little guy have only worsened the tension in New York.
The Financial Times reports that New York City’s business leaders and wealthy population alike have been feeling “strangely unappreciated as of late…even disliked.”
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The most obvious reason for this, they claim, is an attempt by the New York state legislature to create $7 billion in revenue largely to be funded by wealthy New Yorkers who make $1 million or more per year. This prompted some of New York’s wealthiest and most prominent CEOs and businesspeople to warn that tax increases could lead to corporations fleeing New York for lower tax states like Florida.
Terri Liftin, a Democratic lawyer who is running for New York City comptroller, says it was to be expected that the inequality exacerbated by the coronavirus would breed greater hostility toward the rich, the FT adds.
In New York, two new personal income tax brackets would be temporarily created: 10.3% for income between $5 million and $25 million, and 10.9% for income over $25 million, according to The New York Times. The personal income tax rate would increase to 9.65% from 8.82% for individuals making over $1 million and for joint filers making more than $2 million.
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Some reasons for the uneasy sentiments referenced by Liftin could be the widening wealth gap as a result of the pandemic and unequal access to vaccines.
A report from Oxfam claims “Over two million people have died, and hundreds of millions of people are being forced into poverty while many of the richest — individuals and corporations — are thriving.”
“The amount of wealth you hold serves as an insurance,” economist Greg Leiserson told NBC. “The consequences of this will be long lasting. The deeper the hole you dig now, the harder it is to dig out.”
In New York particularly, inequity has also presented itself in the form of vaccine access. During the beginning of the vaccine rollouts, appointments were mostly available through online systems on a first come, first serve basis as long as you lived within the state limits.
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This led to a disproportionate number of people from white, affluent areas who had better and more versed access to the internet quickly grabbing slots for appointments in lower income Black and Hispanic neighborhoods in the city. More densely populated areas meant more appointments, and the system easily allowed for the members of these communities to be pushed out.
This, coupled with news consistently rolling out how the rich have fared better during the pandemic, has easily increased tensions within the city and created a sharp divide concerning how to raise revenue and create a more equitable city.
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This article originally appeared on GOBankingRates.com: ‘Eat the Rich’ — Wealth Disparity Comes to a Head in COVID New York
