Biden Tax Plan Is Greatest Experiment in Policy: Rattner

The transcript discusses the debate over taxing labor versus capital, focusing on capital gains tax and its implications on investment and revenue. It explores President Biden's proposals, including raising capital gains tax and personal tax rates, and their potential impact on fairness and revenue generation. The discussion also covers the effects of increased government spending on the economy, comparing it to historical precedents.

What was the top tax rate for both labor and capital after the 1986 Tax Reform Act?

• 23.8%

• 15%

• 28%

• 39.6%

What is one argument against increasing the capital gains tax?

• It will increase government revenue.

• It will increase savings.

• It will reduce labor productivity.

• It will discourage capital investment.

What is a potential consequence of not eliminating the step-up in basis on assets at death?

• Reduced tax revenue

• Decreased capital investment

• Increased savings

• Increased government revenue

What was the top personal tax rate during President Clinton's administration?

• 23.8%

• 50%

• 39.6%

• 28%

How do higher personal tax rates historically affect people's willingness to work?

• They lead to more tax shelters.

• They significantly reduce work effort.

• They increase work effort.

• They have no measurable effect.

What is the scale of President Biden's proposed spending compared to the Obama stimulus?

• Six or seven times as large

• Three times as large

• The same size

• Twice as large

What is a potential risk if President Biden's economic policies do not deliver as expected?

• Increased tax rates

• Increased inflation

• Reduced government spending

• Setback for progressive government