Share Our Wealth was a movement that began in February 1934, during the Great Depression, by Huey Long, a governor and later United States Senator from Louisiana. Long first proposed the plan in a national radio address, which is now referred to as the "Share Our Wealth Speech". To stimulate the economy, the Share Our Wealth program called for massive federal spending, a wealth tax, and wealth redistribution. These proposals drew wide support, with millions joining local Share Our Wealth clubs. Roosevelt adopted many of these proposals in the Second New Deal.
Background
Long believed that the underlying cause of the Great Depression – which he called "Mr. Roosevelt's depression" – was the growing disparity between the rich and everyone else. For most of his political career, he focused his speeches and efforts on the "little man", referring to the rural poor. The Share Our Wealth program was intended to become the capstone project for Long's agenda.
Proposed legislation
In March 1933, Long offered a series of bills collectively known as "the Long plan" for the redistribution of wealth. The first bill proposed a new progressive tax code designed to cap personal fortunes at $100 million (about $2 billion in 2022 dollars). Fortunes above $1 million ($20 million in 2022) would be taxed at 1 percent; fortunes above $2 million ($40 million in 2022) would be taxed at 2 percent, and so forth, up to a 100 percent tax on fortunes greater than $100 million. The second bill would limit annual income to $1 million ($20 million in 2022), and the third bill would cap individual inheritances at $5 million ($99 million in 2022).
In February 1934, Long introduced his "Share Our Wealth" plan over a nationwide radio broadcast.
His plan was to minimize wealth inequality, via Federal tax and spend policy.
An individual's right to wealth would be restricted to:
a maximum INHERITANCE of $5 million ($100 million in 2022); a maximum annual INCOME of $1 million ($20 million, 2022); and an individual's private WEALTH/FORTUNE to $50 million ($1 billion in 2022).
The taxes raised would guarantee every family what Long called a "Household Estate" of $5,000 (a Basic Household Grant worth $100,000 in 2022) and a minimum annual income of $2,000–3,000 (a Universal Basic Income to each household of $40,000 - $60,000 per year, 2022), or one-third of the average family homestead value and income.
free Higher education (including degree-level study at a college, and vocational internships/training required to enter professional organisations); a mandatory 30 hour (four day) working week and a minimum of four weeks paid vacation per year a Pension of $30/month, $360 a year ($600 and $7,200, 2022) paid to every person from the age of 65; for direct Federal assistance to farmers; public works projects, including a $10 billion ($200 billion 2022 equivalence) land reclamation project to end the Dust Bowl; specific to the WWI veterans, benefits would increase, and World War I veteran's adjusted Compensation certificates, due in 1945 would be issued immediately. free medical services for all citizens, and what he called a "war on disease" led by the Mayo brothers.
Long intended his reforms to bring an end to the Great Depression.
Reception
Economic criticism
Long's plans for the "Share Our Wealth" program attracted much criticism from economists at the time, who stated that Long's plans for redistributing wealth would not result in every American family receiving a grant of $5,000 per year, but rather $400/per year, and that his plans for taxation would cap the average annual income at about $3,000. They argued that the confiscated fortunes would only yield $1.50 per each poor family. In 1934, Long held a public debate with Norman Thomas, the leader of the Socialist Party of America, on the merits of Share Our Wealth versus socialism.