John Q. Public wrote:Kramer likes to post graphs of the effect of offshoring
Lower corporate tax rates, and the Offshore advantage is mitigated, subsidies cost somebody, I like the incentive idea, using opportunity for profit to prevent capital dislocation, keep the money here, bring companies and profits home and stop forcing them to shelter profit/gain offshore. Bring the activity and the money home. We are talking Corporate wealth/profit and the effect of that wealth remaining off shore has on the middle class. The middle class would be better off if the business activity were here and not penalize middle class earnings and investment at the same time. So I really do not like the short term capital gains tax idea as control tool although I understand the premise, I just think the opportunity to live off the belly of the shark is better than being eaten by the shark. Saving has always been the way to true wealth accumulation for the middle class and the truth is inflated cost due to current monetary policy and stagnate wages with higher taxes mean middle class families do not have the money needed to establish savings and investment. Wealth standard can grow when there is paycheck still left at the end of the week.
As far as 401k growth, the correlation between US monetary policy (debt issuance) and equities appreciation is a concern. If current estimates are for low rates through 2016 then your 401k is safe until then, so plenty of time to migrate to hard assets, agg and energy related stocks.