The tax on capital gains directly affects investment decisions, the mobility and flow of risk capital from static to more dynamic situations, the ease or difficulty experienced by new ventures in obtaining capital, and thereby the strength and potential for growth of the economy.
Interpretation
Capital gains tax influences investment habits and economic growth.
John F. Kennedy's quote emphasizes the profound impact that tax policies, specifically the tax on capital gains, have on investment decisions and the overall economy. It suggests that such taxes can either encourage or hinder the movement of capital, thereby affecting new businesses' ability to acquire funding and ultimately influencing economic growth and dynamism.
In practice
In a discussion about economic policies during a seminar on investment strategies.
The great battleground for the defense and expansion of freedom today is the whole southern half of the globe... the lands of the rising peoples. Their revolution is the greatest in human history. They seek an end to injustice, tyranny and exploitation. More than an end, they seek a beginning.
I had always enjoyed the title of Commander-in-Chief until I was informed ... that the only forces that cannot be transferred from Washington without my express permission are the members of the Marine Corps Band. Those are the only forces I have. I want it announced that we propose to hold the White House against all odds at least for some time to come.
I am talking about genuine peace, the kind of peace that makes life on earth worth living, the kind that enables men and nations to grow and to hope and to build a better life for their children - not merely peace for Americans but peace for all men and women - not merely peace in our time but peace for all time.
I just received the following wire from my generous Daddy; Dear Jack, Don't buy a single vote more than is necessary. I'll be damned if I'm going to pay for a landslide.
Tolerance implies no lack of commitment to one's own beliefs. Rather it condemns the oppression or persecution of others.
Mankind must put an end to war before war puts an end to mankind.
The world needs banking but it does not need banks.
A nation's economy is more than its markets, tastes, technologies and property rights.
Economics is a highly sophisticated field of thought that is superb at explaining to policymakers precisely why the choices they made in the past were wrong. About the future, not so much.
If bankers become overly conservative in response to past lending mistakes - or if examiners force such behavior - it will hurt bankers' own long-term interests and the economy in general.
One of the market's virtues, and the reason it enables so much peaceful interaction and cooperation among such a great variety of peoples, is that it demands of its participants only that they observe a relatively few basic principles, among them honesty, the sanctity of contracts, and respect for private property.
Credit is a promise to deliver money. It will produce GDP but you'll create credit... So you reach a certain point that that you can't do that anymore... There are choices. And how do we best support, apportion the money? How much is going to be transferred?
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