Alternative Visions – Taxing Capital Gains: Facts v. Fiction

This past week Biden proposed to raise the capital gains tax (on profits from stocks, bonds, real estate sales, financial assets, etc.) from its current 20% to 39.6% on all capital gains profits over $1 million. Business and investor reaction has been apoplectic and immediate. Raising the tax, they claim, will collapse business investment and cut short any economic recovery, they and the business press are proclaiming! But what are the facts on how capital gains effects the real economy, jobs, incomes, business and consumer spending, and therefore US GDP and growth? Today’s Alternative Visions show addresses the growing debate on taxing capital gains by the Biden administration in particular, as well as raising taxes in general to pay for Biden’s Infrastructure plan (aka ‘American Jobs Act’) and his soon to be announced additional ‘Family Act’