‘Why politicians should stop tinkering with tax system’ p.
Dec 28, 2007 Eric Schoenberg, Colombia Business School – Bing Video (http://www.bing.com/videos/watch/video/middle-class-crunch/3x55puxo ) Transcript
Eric Schoenberg: From an economic perspective, it's pretty clear that one of the most important things you ought to do is stop tinkering with the [tax] system. If the whole point is to give people adequate means for planning about how they want to manage their affairs, then the last thing you want you want to do is to [keep] changing it every two years. We should really be thinking about [is a] more constant tax system. But the problem is is [sic] that tax policy is the single greatest mechanism for politicians to raise campaign funds because if you're going to get a $10 million tax break it’s very easy to justify giving a $1 million donation to a politician who's going to endorse it. And so, umm, you know, this is an inevitable problem with having a democratic system – is that the politicians will always see it in their own selfinterest to continue tinkering with the system, ad infinitum.
Eric Schoenberg, Ph.D. Professor Schoenberg studies the psychology of money, with a particular emphasis on intergenerational wealth transfers and behavior in financial markets. His career has encompassed both practical experience and theoretical study in business, as Managing Director and Chief Knowledge Officer of Broadview International, a boutique investment bank; in government, as a Foreign Service Officer in the U.S. State Department; and in academia, having received a PhD in Psychology from Columbia University, an MBA in Decision Science from the Wharton School, an MSE in Computer and Information Science from the University of Pennsylvania, and an AB in Biology from Harvard. Dr. Schoenberg teaches a course in behavioral economics and decision making.