Its not a bad idea and (in practice) for most people it wouldn't be much different to the Tax Free Savings Accounts (TFSA) we have in Canada ... Every year a Canadian can put up to $5,000 into their TFSA, invest in practically anything, and pay no taxes on the earnings.

This was actually something I was thinking about the other day about how Romney could make investment attractive to the middle class. I totally support this. It's a much more middle ground solution to balancing the playing field without upsetting the upper class.

But, one thing I don't know is whether this is for individuals making less that 200k or whole families making less than 200k. Cause if it is for individuals then I'm even more open to the idea.

Well, I don't like it at all, Mr. Romney.

...

I love it!

(honestly, though, I'm indifferent. Scrap capital gains entirely, and we'll talk).

QE does not increase the value of the stockmarket. Just because there's more cash floating about, doesn't mean the values have increased... it's just that the stockmarket has inflation first. Getting more people involved with that is a very bad idea, for 2 reasons:

1) The more "middle class" people who get access to inflationary dollars will spend it faster than what the "1%" do (you know, marginal propensity to consume, and all that gonads). One of the things keeping inflation in some goods relatively low is that the money isn't making its way into the general economy... the more people involved, the faster that money mixes.

2) When people see their stockportfolios rise, for no more reason than the currency has debased, it makes them act as if their portfolios have risen because they've invested wisely... essentially, it makes people act richer than they actually are. This means they start consuming goods that they shouldn't be (indulging in more entertainment, buying bigger houses, getting fancier cars on longer financing plans)... and BOOM, we're in 2005-2007, again.

Honestly, I think it is one policy Romney has put forward that has my full support. Since capital gains is a tax on money that has already been taxed, I think this policy is a great way to help push middle income people into high income ranges.

That is the ultimate goal, right? For Americans to be successful? To help people be able to move up the income ladder, not just sit around in the low to middle range?

Actually isn't a bad idea. The revenue loss would likely be negligible, but it would incentivize low-end investment, which is more of what the economy needs in the first place.

income vs capital, its gonna get more murky.

Flat tax, fair tax, or bust.

He's just playing with a failed tax system.