LETTING THE BUSH TAX CUTS EXPIRE WON'TTRAUMATIZE THE STOCK MARKET

摘要

One of the great misconceptions in this country is that what happens in Washington determines what happens in financial markets. It's so simple, convenient, and satisfying to attribute market movements to thernPresident, the Federal Reserve, Congress, the tax code, or some combination of them. It sure makes for great sound bites and slogans-but often makes for inaccurate analysis. That brings us to today's hot topic in our nation's capital: taxes. Specifically, whether to let the Bush tax cuts lapse on Jan. 1, which would make tax rates higher than now. The issue has produced so much hot air that we'd be well on our way to becoming a green nation if only we could harness it to create electricity. Alas, we can't.