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 | Sep 7, 2021 | Big Government, Blogs, Taxation, Welfare and Entitlements
The great Margaret Thatcher famously observed that the problem with socialism is that governments eventually “run out of other people’s money.” But they can do a lot of damage before they reach that point. We know from U.S. experience that Republicans...
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 27, 2021 | Blogs, Taxation
At the risk of understatement, Illinois is not a well-governed state. Greedy (and hypocritical) politicians have taxed and spent the state into a fiscal hole. It ranks in the top 10 for unemployment.It ranks in the bottom 10 for...
