GOP's official report says tax cuts for the rich just don't do much of anything to help the economy.

[Imran Siddiqui]

econometrics is a worthless subject and econometrics applied to macroeconomic data isn't just worthless crap, it's offensively stupid

BS. Where is KH when you need him to point out how most macroeconomics is crap?

[Kidlicious]

"Taxes on profits lower the after-tax risk-adjusted expected nominal rate of return on new business investments. For some investments, those taxes lower the after-tax rate of return enough that it goes below the interest rate at which the firm can borrow."

Anywho, you are clearly talking about physical capital in this claim, not financial capital. The return on the financial capital is different from the return on the physical capital, as it may indeed have different owners.

[Dinner]

From the report:

“The results of the analysis suggest that changes over the past 65 years in the top marginal tax rate and the top capital gains tax rate do not appear correlated with economic growth,” the report concluded. ”The reduction in the top tax rates appears to be uncorrelated with saving, investment, and productivity growth. The top tax rates appear to have little or no relation to the size of the economic pie.”

http://graphics8.nytimes.com/news/business/0915taxesandeconomy.pdf