An editorial in the Wall Street Journal (2001) argued, high marginal tax rates . . . discourage

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An editorial in the Wall Street Journal (2001) argued, “high marginal tax rates . . . discourage incentives . . . to take risks,” The proposition seems plausible. Why take a chance on a risky investment if your gains are going to be grabbed by the tax collector? Use the theory of portfolio composition to explain why the problem is more complicated than this line of argument suggests.

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Public Finance In Canada

ISBN: 9781259030772

5th Canadian Edition

Authors: Harvey S. Rosen, Ted Gayer, Jean-Francois Wen, Tracy Snoddon

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