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The sovereign economic model
Wealth Distribution Is Profit Sharing

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The idea of distributing wealth comes up often in the Sovereign Economic Model. One significant occurrence is that state capitalism, through the profits of state-owned enterprises (SOEs), indirectly distributes wealth. By channeling profits to the state, the model uses the money to lower taxes, improve services, or support business. It lowers both the cost of living for citizens and the cost of doing business.

A balance between the owner of production and the workers is needed. Both Karl Marx and Friedrich Engels discussed this topic broadly, advocating for the workers to own the means of production as practiced in communism. The following might be a better way:

• Assign 20—30 percent of profits to workers.

• Assign 10—15 percent of stock as company remuneration or for voluntary purchase by employees.

Such a scheme could create a stabler balance in the economy.

The Sovereign Economic Model. A manifesto for rising nations

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