ThinkTankWeekly

Inheritance Taxes Hurt Investment, Growth, and Productivity

CATO | 2026-09-01 | economy

Visit original source

ThinkTankWeekly provides a curated entry and summary only. Full text and PDF remain on the publisher's website.

English Summary

The article argues that inheritance and estate taxes are detrimental to economic growth, investment, and productivity. Citing Sweden's experience after abolishing the gift and inheritance tax in 2005, the author notes subsequent increases in firm profitability, net sales, and asset values. The core reasoning suggests that removing these taxes allows owner-managers to reinvest capital directly into their companies rather than withdrawing funds for anticipated future tax liabilities. This increased internal investment has been shown to boost corporate financial health and higher corporate income tax payments.

中文摘要

本文論述遺產及繼承稅對經濟增長、投資和生產力具有不利影響。作者引用瑞典在2005年廢除贈與和遺產稅的經驗,指出此後企業的盈利能力、淨銷售額和資產價值均有所提升。其核心論點認為,取消這些稅收能使所有者管理者(owner-managers)將資本直接再投入到自身公司,而非提取資金以預備應對未來潛在的稅負。這種增加的內部投資已被證明有助於提振企業財務健康狀況,並進而提高企業所得稅的繳納額。

Related Entries

  1. 1.
    2026-09-01 | society | 2026-W36 | Topics: United States

    The Cato Institute warns that the USPS's current handling of mail balloting poses a significant risk of systemic failure ahead of major elections. Key concerns include whistleblower allegations regarding 'batch rejection protocols,' which could invalidate thousands of legitimate ballots, coupled with documented slowdowns in delivery speed and increased rejections for lateness. This instability suggests potential operational or political interference aimed at undermining mail voting integrity. Consequently, the article advises that voters and state election officials must plan to bypass the USPS system by utilizing alternative secure methods, such as drop boxes or early in-person voting, to ensure timely ballot submission.

    Read at CATO

  2. 2.
    2026-09-01 | economy | 2026-W36 | Topics: Europe, Indo-Pacific, Trade, United States

    The article argues that the United States' aggressive use of tariffs and economic coercion is counterproductive, inspiring international partners to actively circumvent US markets. Instead of increasing dependency on American trade, major global players are deepening cooperation by establishing new free trade agreements (e.g., EU-India, ACFTA, CPTPP) that explicitly exclude the U.S. This trend signals a significant shift toward increased global economic integration outside of US influence. Policymakers should recognize this accelerating decoupling, as it suggests that the traditional American model of trade leverage is rapidly diminishing unless the U.S. commits to upholding multilateral rules and reducing protectionism.

    Read at CATO

  3. 3.
    2026-09-01 | economy | 2026-W36 | Topics: United States

    The article argues that passing a Continuing Resolution (CR), while preventing an immediate government shutdown, merely preserves an unsustainable fiscal status quo rather than addressing underlying budgetary crises. Congress is criticized for using the CR as an escape route from difficult choices—such as cutting programs or tackling massive deficits—while simultaneously planning to increase debt through reconciliation packages for defense and agriculture. The core problem remains mandatory spending (Social Security, Medicare) driving debt unsustainably. For genuine fiscal stability, the author advises that Congress must move beyond short-term funding measures, prioritize essential functions, and establish a dedicated process to impose discipline on mandatory programs.

    Read at CATO

  4. 4.
    2026-09-01 | energy | 2026-W36 | Topics: United States

    The CATO article argues that the US-Venezuela oil deal is deeply problematic due to significant governance and ethical concerns. Key criticisms include a lack of transparency in negotiations, the expansion of state corporatism through government involvement in resource extraction, and questionable legality since it bypasses Venezuelan constitutional requirements. Furthermore, the agreement utilizes a notoriously corrupt private partner and sidelines the democratic opposition, severely undermining US credibility and future diplomatic efforts. Strategically, the deal is viewed as an ill-advised 'imperial resource grab' that risks damaging long-term American influence in Latin America.

    Read at CATO

  5. 5.
    2026-08-31 | americas | 2026-W36

    The article argues that Louisiana state courts are systematically failing to uphold the constitutional requirement (Brady v. Maryland) for prosecutors to disclose exculpatory evidence, leading to a crisis of accountability and wrongful convictions. Using Juan Matthews's case as an example, the brief details how withheld police files—containing conflicting eyewitness accounts and lack of identification—prevented him from securing post-conviction relief despite clear violations. The authors contend that this failure is systemic, noting that prosecutors face little consequence for withholding evidence in bad faith. For policy, the piece stresses that rigorous enforcement of Brady compliance is essential to maintaining the integrity of the criminal justice system, particularly as plea bargaining increases; otherwise, defendants lose confidence in fair trials.

    Read at CATO