Thursday, September 14, 2006

Moderately Good News on Taxes

As the Ohio House moves to accelerate planned tax cuts. Unfortunately, this is only speeding up planned cuts. A good next step would be to revisit the Ohio capital gains tax with an eye to total repeal.

Increasing returns to capital leads to more investment. More investment means more and better capital per worker, a growing economy, and higher incomes.

As always, the biggest barrier to economic growth is the lack of understanding of economic principle, combined with an addition to a class warfare mentality. The end result is always lower growth, lower wages, and loss of opportunities for the poor to advance.

But hey! At least everybody’s poor!.

And they’re going to stay that way…