Obama and (Even) Higher Capital-Gains Taxes

Greensix is nuts

Of course, if we taxed companies with foreign activities that at 96%, nobody would do it.. but those countries would retaliate, cutting investment in the U.S. Have you ever driven through southern Ohio, Alabama, South Carolina - and looked around? You see a lot of foreign-owned auto plants employing thousands. Just demolish those, under your lack-of-a-thought idea... and of course, watch as foreign construction companies started buying Kubota instead of Caterpillar, or Airbus instead of Boeing.

Grant of MA @ Apr 23, 2008 13:27:06 PM

Capital gains are not only for rich people. I earn less than 40 thousand a year (before taxes) but my retirement is tied up in mutual funds. Most people affected by capital gains earn 57 thousand a year or less. If Obama wants to tax this like income, then people are not going to invest their savings. I've already paid taxes on this money. I am doing the economy as a whole good by investing it in it, but if Obama plans on punishing regular people like me, we are not going to make investments, the economy will grow weaker, and the government will generate less tax revenue. So, everyone loses.

John of IA @ Apr 23, 2008 12:31:24 PM

Capital gains tax increase

Good thing it is Obama. If it were me capital gains would be taxed at 96% for any business that had opened shop in any non-American location. There would be no write-offs, no depreciation, and no tax breaks for companies that had a single employee outside of the United States. Any company doing business inside the United States and foriegn owned would be taxed at 96% also. It's time for American companies vying for American dollars to pony up or get the hell out of business.

1Greensix of CA @ Apr 23, 2008 12:23:40 PM

Liberal delusions on Cap Gains

There are those posting above speaking about equalizing cap gains and marginal income rates as being a good thing.. a good thing would be to keep those people as far away from the levers of the economy as possible.

1) Cap gains and wages are different in one critical way - cap gains involve risk - you can LOSE it all, whereas wages are, for as long as you work, guaranteed. Wages always have an upside. So while you may not have to encourage people to invest in stocks, etc., you sure as heck can DISCOURAGE them if you take half of what they make. Since investment and savings are the keystones of the creation of new business, industries, etc., discouraging savings just leads to inflation (Can't invest it? lets SPEND it!) and a credit crunch on business.

2) Cap gains in Obama's sense means stocks, bonds - if you tax those more aggressively, people will move monies into other tax-minimizing assets - e.g. real estate. We don't exactly need another real-estate bubble, nor do we need a rush into Muni bonds propping up towns and cities already borrowing too much.

3) We have a progressive tax system, yes.. .but that's not an absolute. Ideally we also shouldn't have a confiscatory/redistributionist system either. Taxing the rich works to a point, until the rich leave, or engage in tax minimizing behavior - like retiring early, holding assets longer, etc.

Economics can't be a difficult science, but it has some simple truths.. and if Senator Obama gets into office and ignores those, then woe to our economy. Study history - the Depression came about for 3 reasons: protectionist sentiment depressing trade and the economy (Smoot-Hawley), higher taxes under Hoover, and Fed credit tightening that caused bank failures. Items 1 and 2 sound very Obama-esque, don't they?

Grant of MA @ Apr 23, 2008 11:54:29 AM

judging by this dude's photo

we should double the tax on turtle necks...

ryan tull of MO @ Apr 22, 2008 23:39:23 PM

poor hate mongers

most rich people don't do any harm to people with less money than them. our culture has something of a resentment towards the rich, and its unnecessary and inappropriate to continually make negative generalizations about those who make more than average. and no need to rip on the republicans bob green, the republican party isn't a being and hasn't done you any harm. maybe some prominent members have, but they don't necessarily represent the views of all republicans. once again, i don't appreciate stereotyping.

p.s. i'm not a republican

let's not be too quick to judge others of PA @ Apr 22, 2008 19:35:20 PM

Thank you!

Thank you for that valuable information! I have heard on the radio show Moneytalk about some things that Obama will do if elected. I hope the future president will care for the people and not tax us to death.

Lena Leung of IL @ Apr 22, 2008 18:24:09 PM

The Rich takes advantage of the Poor in so many ways.

It is a shame that the rich takes advantage of the poor by their lack of information to the truth. If you are a common individual in America, you are being taken advantage of in so many ways by use of Media, Television, in how you buy, how you shop, and so forth. There is a reason why the price of gas is high, and it is not necessary all foreign powers.

If people actually stood up and revered the truth then I believe so many people would be liberated in so many ways.

I also believe a rich person could be liberated too by repenting from their fear and greed.

Perhaps what Jesus has been preaching in the Gospels is the actual truth. Even though Obama may be a good candidate, only Jesus has the power to make real change happen and that may not happen til His return.

Shade of IL @ Apr 22, 2008 17:18:14 PM