If the USA's growing income disparity sparks a revolution, how should we change our system?

Wealth disparity in the USA today is large and growing. The top 1% now hold over 38% of the nation’s wealth, more than they held in 1929 when the US fell into the Great Depression. Only the top 10% have gained in income over the last 30 years. Most of that gain went exclusively to the top 1%. The bottom 80% actually earn less today in inflation adjusted terms than they did in 1980. The bottom 60% earn much less. And yet anti-tax crusaders continue to convince voters they must vote for more tax breaks favoring the top 1%, even though we are already piling up a mountain of debt.

Conservative think tanks such as The Heritage Foundation, funded by billionaires and corporations, publish spin claiming that tax cuts always increase revenues. While it is true that raising taxes too high does lower economic activity and reduce revenues, it is also true that our top tax rate is now far below that point. We have the lowest individual tax rate in the developed world. Both of George W. Bush’s tax cuts lowered revenues and ran up debt. Bush’s Administration doubled the national debt and also had the lowest job creation of any president since WWII.

With the recent Supreme Court decision in FEC vs. Citizens United now allowing corporations to secretly pour unlimited amounts of money into political advertising, and with the revolving door allowing the same people to cycle back and forth between powerful government jobs and control of the very corporations they are supposed to regulate when in Washington, there is little hope that things will do anything but get worse.

If this shift toward Plutocracy and Corporatocracy eventually provokes a violent change of government in the US, what form of government should replace what we now have? Being as we need corporations for jobs and for making things that require a large cooperative effort, what could we institute to ensure that Corporatocracy doesn’t just return to ruin things all over again?