Rich … in Responsibilities
6 reasons fines should reflect the offender’s income and assets
1. Inequality is rising.
2. Social unrest is rising, thanks in no small part to inequality.
3. The economy would benefit.
4. The environment would benefit.
5. It would improve trust and transparency.
6. The wealthy would be held accountable for their actions.
Fines and community service should be increased for the rich, and even more so for big businesses. Currently, money arguably serves as a license to disregard the law, as most fines mean nothing to a millionaire. With its current legal system, Canada is passively showing preference to the wealthy, and is therefore not fulfilling its responsibilities as a constitutionally egalitarian and generally progressive country.
A much more ideal system is the one currently in use in France, Germany, Sweden, Finland, Denmark, and Switzerland. And that system is “day fines”, or fines that are proportional to the income of the individual offender.
The optimal system, however, would take the offender’s assets or net worth into account as well as their income, something no country currently does. This would serve to charge fair fines to retired wealthy people, as well as those who obtained their wealth in ways other than work (marriage, inheritance, investments). This system could be called “value fines”.
Poor offenders should be given the option to pay off their debt to society via community service, just in case they are too broke to pay even the minimum fine. Speaking of which, the wealthy should also have to pay more to buy their way out of community service.
Reason 1: Inequality
In most parts of the world, wealth inequality is growing at an alarming rate. The majority of people are experiencing a decline in their financial status, while the wealthy elite continue to amass more wealth. This trend goes against what should be happening. Introducing a proportional fine system could reduce this problem.
Reason 2: Social unrest
Inequality is a major contributor to social unrest, and the disparity in wealth is no different. If the wealthy individuals were to pay their fair share in fines, it would likely result in fewer riots and a safer society overall. This is because when the burden of financial responsibility is placed more heavily on those with greater means, it can help to level the playing field and reduce the tension and resentment that often lead to social upheaval. By ensuring that everyone contributes equitably to the functioning of society, we can work towards a more harmonious and stable community for all.
Reason 3: Economic benefits
Investing in public services stimulates economic growth and stability. The increased fines could serve to benefit education, healthcare, housing, infrastructure, or even technological advancements, for the benefit of all.
Tax evasion exacerbates the issue of financial inequality. Not only does it place a disproportionate burden on the middle and lower classes, but it also hinders the government’s ability to fund social programs and public services that could help bridge the wealth gap. Increasing fines for the wealthy is crucial in creating a more equitable and inclusive society.
Furthermore, when fines are not adjusted for inflation, their effectiveness as deterrents diminishes over time. Implementing proportional fines, with only a minimum amount and no maximum, could help mitigate this issue. This approach would make fines less vulnerable to becoming outdated and ineffective, ensuring that they remain a powerful tool for enforcing the law.
Reason 4: Environmental benefits
Wealthier individuals often have larger-than-average carbon footprints, which they should pay for. This is even more true of corporations. Canada is steadily increasing its carbon tax, but reformed fines would serve to supplement it. Pollution would be reduced.
Reason 5: Transparency
The rich are often resented by the majority. They should not benefit disproportionately from government programs without paying a greater share. By paying a greater share, they would set a good example for the majority. Visible contributions from the wealthy would foster trust and reduce public resentment. Proportional fines reinforce the idea of a social contract, where the more privileged contribute back to the society that enabled their success.
Reason 6: Accountability
Steeper fines would discourage wealthy people and businesses from breaking the law. Crime rates, and especially recidivism rates, would drop. Conversely, existing flat fines disproportionately impact poor individuals. Income- and asset-adjusted fines would not share this problem, especially with a “community service” option in place. People of all income brackets would be held accountable for their actions without being affected too severely.