by Dan Mitchell | Sep 14, 2021 | Blogs, Taxation
When I discuss class-warfare tax policy, I want people to understand deadweight loss, which is the term for the economic output that is lost when high tax rates discourage work, saving, investment, and entrepreneurship. And I especially want them to understand...
by Dan Mitchell | Aug 31, 2021 | Blogs, Capital Gains, Taxation
Yesterday’s column cited new scholarly research about the negative economic impact of Biden’s plans to increase capital gains taxation. In today’s column, let’s start with a refresher on why this tax shouldn’t exist. But if you don’t want...
by Dan Mitchell | Aug 30, 2021 | Blogs, Capital Gains, Economics, Taxation
Public finance theory teaches us that the capital gains tax should not exist. Such a levy exacerbates the bias against saving and investment, which reduces innovation, hinders economic growth, and lowers worker compensation. All...
by Dan Mitchell | Aug 29, 2021 | Blogs, States, Taxation
I wrote last month about an encouraging wave of tax cuts at the state level. I’m particularly impressed by the tax-cutting plan in Arizona, which cleverly reversed a class-warfare scheme designed to enrich teacher unions. Indeed, I’m a big fan of...
by Dan Mitchell | Aug 25, 2021 | Blogs, Taxation
What motivates the tax-and-spend crowd? Why do they want high tax rates and a big welfare state? The most charitable answer is that they don’t want anyone to suffer from poverty and they mistakenly think big government can solve...
