No more capital gains taxes

[miles]

If the feds eliminated the capital gains tax, what effect would it have on the economy?

 

[Tabby432]

More importantly, what effect would it have on me?

None. *sigh*

 

[Renegade]

Oh you, you, you......

 

[xwizard4]

The rich would get richer.

 

[A_Jacks]

Presently none. In one year, provided we are not in world war, it will be a great stimulus. Whoops, got to go, there is a light on in my barn, and it has no electricity to it...

 

[Bob Peale]

Currently none.

I would think the majority of ordinary investors aren't running the risk of incurring a gain if the sold today anyway.

 

[Young Knave]

You could give a tax break to middle and lower class people. I think that would be better for the economy, get people spending again. Part of the problem right now is that too much of our wealth is concentrated among a small group of people. If you gave the wealthy another tax break, they'd probably use it to move more factories overseas or something.

It's time we focused on the Demand side of supply and demand.

 

[shadowsource]

It's very likely that -

- a significant selloff in profit taking would cause the market to FALL. I certainly don't think a lot of folks would be buying in the face of a impending dispensation from taxes. I presume that this is why Bush canned the idea - he certainly supports reducing cap gains, but his thinking these days seems sharper, and there's no way that at least some of his advisors wouldn't know that this could really hurt the markets at a time of so much volatility.