That was Barack Obama during the campaign in 2008: “Well Charlie, what I've said is that I would look at raising the capital gains tax for purposes of fairness.” 

Considering the uproar over Mitt Romney’s tax returns and the fact that he pays capital gains taxes at this 15% rate, it is only a matter of time before we hear cries to increase the capital gains tax. 

If you are a regular listener to the show, or reader of Nealz Nuze, you know that history shows that raising the capital gains rate actually lowers government revenues, while decreasing the capital gains rate increases government revenues.  Here are just a few examples …

• Between 1968 and 1972 rates increased by 10 percentage points and revenues fell 21%.
• In 1978 the rate fell by 15 points from 35% to 20% and revenues increased by 46%.
• In 1986 the rate was raised by 8 points to 28% and by 1991 15% less revenue was being raised.
• In 1996 the rate was reduced by 8 points to 20% again and by 2000 revenues had grown by some 50%
• In 2003 the rate was cut to 15% and revenues grew by 45% over the following three years.

When presented with the specific example from the Clinton administration, Barack Obama replied with the quote from above.  That’s the kind of baseless wealth envy we are dealing with, folks. 

This is a time when we need to be encouraging investments.  Start up small businesses are responsible for most new jobs in America, at least they were for a long stretch of our history.  US experts agree that increasing capital gains taxes ‘significantly damages the economy.” 

But don’t bother these Democrats with the facts.  Those just get in the way of their reelection campaigns based on wealth envy.