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It to incentivise investment to make up for the possible loss. you might want to think about what happens when companies run out of capital.
by walshemj 6y ago
It to incentivise investment to make up for the possible loss.
you might want to think about what happens when companies run out of capital.
- wing-_-nuts 6y agoIsn't incentivizing for risk the market's job? Why should the government be in the business of rewarding risk taking, and secondly, where else would they put their money? It's not like there's a secret, riskless investment out there that has a high return and doesn't generate capital gains. Your options are to invest, or lose money to inflation in a certificate of deposit.
- walshemj 6y agoLots of reasons the government should be in that business. And artificially pushing people to invest in income vs capital gains will increase bond/guilt prices.