As we all know that the essential problem with today world is money and greed for collecting money. It is often not collected to be spent within the lifetime of a person, and it is at the end passed on to the next generation as inheritance/lineage. This creates or enlarges the divide between the rich and the poor.
If there is a mechanism to somehow limit the amount or percentage of money that a person can have or a person can pass on, this thirst for acquiring more and more can be crippled to some extent.
I have 2 suggestions that can either or both be implemented.
Just like the tax laws and tax auditing, there need to be a audit of every citizens total assets. including investment shares, land holdings, resale value of belongings etc within and outside the country. Being from India I know politicians use Swiss banks to store black money, which is somehow getting exposed now, anyway all the means of white money and bank balances can be audited to calculate the total assets of an individual every year. There may be questions on current investment in shares and how to calculate the current value. That can always be figured out by some formula for approximating the value.
And let all the assets worth of all the citizens divided by countries total population be called per capita assets of a country.
The next step is to stop the greed of the person to collect more and more, even though he donot need it in his lifetime. This can be done in 2 ways.
1- Limit the total income a person can keep. It can be as low as per capita assets of the country * (Economic gap ratio)
This limits the maximum permissible divide between the rich and the poor. If you see the ideal number can be as low as 10^6 and as high as 10^10.
Any way, if a person has more than the following assets, he needs to spend it in non-possession type means, like renting etc. This will necessarily ensure the flow of money which is the key to economic stability. Its like economic momentum, more the flow, stabler is the economy.
In any case if a person fail to do so, the excess money will be seized by the government.
Clearly this is a huge rule and have many issues, it essentially will demolish large holdings of companies ownership, which will essentially require all majour/high valued companies to go public.
2. Limit the inheritance capacity of an individual, this may be difficult to implement given lot of loop holes.
The basic idea is to say children/inheriters can only inherit at max allowed percentage of their parents/inheritees assets. The value of this percentage can be as low as 50% and say high upto 75%. Rest of the amount will go to the government. There are a lot of issues here that need to be taken care of.
a. The basic medical/college fee etc for medical and educational expenses can be stored in advanced via a public trust, that can be apart from the inherited money. This money can only be claimed in the above 2 categories.
b.Gifts etc, can be used as a means to transfer money from parent to child using a third party. This need to be thought through. Not sure how to stop this.
c.There can be a lower limit on when the rule needs to be applied, say the inherited value is greator than or equal to some amount, based on the percapita total assets of the country. This is required so that the lower class donot get affected by this.
d. There need to be a very strict regulation to check the dead people are reported/death certificates made timely and conclusively. probably missing persons declaration to dead also need some modifications.
The issue over here is the above rule needs to be passed at the country level to have effect.
The point then comes is the total assets ownership can be held by some people of other countries. (Typical case for Non-Resident Indians)
This can be solved using a pretty controversial approach.
1- Only a citizen of a country can own an asset/company in the country.
2- Other foreign nationals can only take the asset on rent for a maximum amount of years(say 50).( I believe this is already followed in many countries)
3- A person can be a citizen of only 1 country, and the total assets counted will include his assets outside his country.
I am hopeful, if such a economic bill/rule is passed, probably with some more loopholes covered, there public may understand the uselessness of collecting and storing money and assets.
Further it will ensure existence of no ultra rich/elite families to control/influence the governance of a country to their benefit.
Just putting thoughts out there.