There are two problems with an estate tax: 1. The belief that estates should be taxed at all reveals a fundamental misunderstanding of economics, and 2. The actual taxing of estates has very different effects than those that advocates imagine it will have.
Should we allow the wealthy to pass on large inheritances to their children and grandchildren? After all, allowing one generation to transfer large sums of money to another seems to exacerbate the problem of inequality, allowing second and third generations to bask in wealth they really didn’t earn. If we, at the very least, taxed […]