first and most importantly, taxes has little to do with risk unless for some reason the government wants to encourage or discourage risk. i wont go into capita

first and most importantly, taxes has little to do with risk unless for some reason the government wants to encourage or discourage risk. i wont go into capital gains being double taxed, thats covered bellow. what i will go into is how completely wrong the writer is on risk of labor vs capital. its VERY easy to loose money in the market. unless you want to pay the same taxes on capital gains as your tax bracket (labor presumably), you have to dump money into a company and hope a year from then that after fees, taxes, and inflation that you broke even. even at the worst of our resession, the unemployment rate was around 8.1%, lets call it 10%. that means 90% of people were still working - in pretty much the 2nd worst time in US history for them. meanwhile investors lost about 50% of their capital.