He's basically saying that the oligarchs know what's best, and "improving prosperity" means not spending other people's money on common good/public programs that might even the playing field between labor and finance. Y'see, people that make the money know best how an economy works, and everyone else is jealous and trying to take their hard earned money away from them. So of course, they're going to try and hide their money away from all those greedy, lazy moochers...
He's just being a less long-winded Ayn Rand. There's a lot of hyperbolic gobbledygook in this essay - I would never submit that for a grade in any of my current classes, and I'm only four classes away from a BS in Business with minors in Emerging Technologies and Global Economies. Sounds like one of my "listen to me, I'm smart" posts.
First - He mistakes capital for money only. He's basically an accountant, not an economist. He ignores the fact that in economic terms, capital is anything and everything that is produced from raw materials using labor - not just money.
As for higher taxation creates a "rentier" class?
Well, whoopee, he read Piketty's blockbuster on Capitalism, and found a new fancy word to use. Rentiers aren't "advisers and accountants", but people who live off "rent" or investments. Venture Capitalists. Y'know, Warren Buffett. Advisers and accountants are professional clerks, "white collar workers" or bourgeois.
So, in actual capitalism - Adam Smith's capitalism complete with rentiers, manufacturers, bourgeois, and labor, higher taxation on the upper level results more liquid money within the economy as a whole, with the upper levels of wealth engaging in higher spending and investment in productive activity that creates a tax break for them and provides them with higher long-term returns as money in the hands of those with less tends to increase due to the circulation effect.
Anyway, yes - it's interesting. But he's still a Flat Earth boob parroting simplistic garbage that even Alan Greenspan admitted was wrong a decade ago when the Randriod experiment started going south.
Haele
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