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A better way to tax the rich

American wealth inequality is staggering. A wealth tax, which would hone in on the money people actually have, rather than just the money we earn and spend, could be a solution. Become a Video Lab member! http://bit.ly/video-lab An astounding amount of American wealth lies with very few ultrarich people. But it isn’t taxed by the federal government. That's because most of the taxes we pay only happen when money changes hands — when we earn it or spend it. This is what a recent proposal from Senator Elizabeth Warren tries to fix. Her plan is to tax fortunes greater than $50 million at 2 percent each year, and wealth greater than $1 billion at 3 percent. When you add it all up, those tiny slivers of massive fortunes would raise enough revenue to pay for huge programs for everyone else. Vox.com is a news website that helps you cut through the noise and understand what's really driving the events in the headlines. Check out http://www.vox.com. Watch our full video catalog: http://goo.gl/IZONyE Follow Vox on Facebook: http://goo.gl/U2g06o Or Twitter: http://goo.gl/XFrZ5H