The Big Squeeze: How taxes are squeezing your income; how interest rates are squeezing your assets
, is an adaptation of the presentations thatRon Muhlenkamp, Portfolio Manager, and Jeff Muhlenkamp, Investment Analyst,delivered at the Muhlenkamp & Company investment seminar in May 2013.
Jeff Muhlenkamp addressed how low interest rates impact companies’ denedbenet pension plans.
Archives of past seminars are available at www.muhlenkamp.com.
We hope you nd this booklet useful. Let us know what you think.
Ron Muhlenkamp began the presentation…I nd that many o the things we see today are similar to what we’ve seenbeore. For instance, the government budget decits today look much like thedecits o the 1980s. And concerns about China today are similar to concerns we had about Japan in the 1970s. This is especially true or today’s seminar topic. Over the past years,I’ve written extensively about the sel-deeating nature o excessive taxationand how interest rates and infation aect your purchasing power. Today’sseminar is a synthesis o 40 years o observations based on acts. Due to timeconstraints, you’ll be getting the “Cli’s Notes” or
version.For additional inormation, please reer to the Appendix which includes thesource materials.
How Taxes Are Squeezing Your Income
In October 1996 I wrote
The Trouble with Government Spending
, oering my perspective on taxes, ederal spending, and their eects on the economy.In that essay, I assert that personal and national wealth production only occur in the private (nongovernmental) market because when the government getsinvolved, work incentives decrease and spending becomes less ecient.
The Big Squeeze:How taxes are squeezing your income;How interest rates are squeezing your assets