Tax Reform Would Pay Dividends

Investors and entrepreneurs respond to incentives. Right now, the messages they are receiving from the public sector are hostile, intrusive, and punitive.

RALEIGH (By John Hood, Carolina Journal Online) – If you want to know why the U.S. economy remains so weak, with anemic employment trends in the private sector and lots of investors and entrepreneurs staying on the sidelines, consider just this one factor: unless Congress and the Obama administration change course, the effective tax rate on investment income received in the form of dividends will soon rise to 68 percent.