The Two Percent Solution

"If you can gauge it as a candidacy based on national priorities," said McCain adviser Rick Davis, "then your response to these attacks would be, 'Look at how we waste money already.

"If you can gauge it as a candidacy based on national priorities," said McCain adviser Rick Davis, "then your response to these attacks would be, 'Look at how we waste money already. Sure, two percent of the GDP is a lot of money, but we're spending two percent of the GDP on bullshit right now.'" The Two Percent Solution proposes that by redirecting just 2% of America's GDP (about $220 billion annually), the nation can solve its most pressing domestic problems. This approach aims to: Provide universal health coverage Improve education in low-income areas Ensure a living wage for full-time workers Reform campaign finance The solution combines liberal goals with conservative means, offering a pragmatic middle ground that can appeal to both parties. It challenges the notion that these problems are intractable and demonstrates that with a modest reallocation of resources, significant progress is possible.

"It transforms campaign finance from an inegalitarian embarrassment into a new occasion for civic responsibility," Ackerman told me. Universal coverage can be achieved through a system of tax credits that allow individuals to purchase private insurance. This approach would: Provide subsidies for low-income workers to buy insurance Implement community rating to ensure fair pricing Allow for competition among private insurers The plan aims to cover all Americans while preserving market incentives and avoiding a government-run system. It addresses conservative concerns about efficiency and liberal goals of universal access, demonstrating the potential for bipartisan solutions in healthcare reform.

"To me, the solution to poverty, it's working 80 hours a week, it's working your butt off, it's saving money and it's having that kind of initiative." Teacher quality is crucial for improving education in low-income areas. The Two Percent Solution proposes: Raising teacher salaries in low-income schools by 50% Offering up to $150,000 for top-performing teachers Making it easier to dismiss underperforming teachers This approach aims to make teaching in challenging schools a prestigious and desirable career choice, attracting talented individuals who might otherwise pursue more lucrative professions. By focusing on teacher quality, the plan addresses one of the most significant factors in student achievement.

"The philosophy behind the employment subsidy system is that the private benefit of employment does not fully capture—and hence the paycheck of less productive workers does not fully reflect—the whole of the social benefit from these people's becoming employed workers." Wage subsidies can ensure a living wage without placing the entire burden on employers. The plan proposes: A government subsidy to bring minimum wage workers up to $9 per hour…