President Obama has shown again that he doesn’t understand our system of capitalism. He refuses to unwind the 2.3 percent tax on medical devices and wanted to undo 529 plans, which encourage saving for college by making those funds tax exempt.
When you tax something you get less of it, e.g. less innovation and creation of new medical devices. When you subsidize something, e.g. tax-free saving for college, you get more of it. Both of these are desirable outcomes, but he blindly believes in more taxation.
Robert P. Watson