Economic Policy

For nearly thirty years, the ACCF and its research affiliate, the ACCF Center for Policy Research, have brought the message to U.S. and international policymakers, the media, and the public that a nation's strength and stability depend upon well-thought-out economic, regulatory, and environmental policies to promote capital formation, economic growth, and a higher standard of living for all.

Research Publications & Testimony

  • Why Is Capital Investment Consistently Weak in the 21st Century U.S. Economy?

    A new report sponsored by the ACCF and completed by The Aspen Institute program on Manufacturing and Society in the 21st Century and the MAPI Foundation explores the various causes of sluggish capital investment, discusses the damaging implications this ongoing trend has had on U.S. productivity and economic growth, and finally suggests policy recommendations to stop the slide.

  • Special Report: Trade Promotion Authority – American Economy & Trade

    The President’s 2014 Trade Policy Agenda stresses the critical role of trade and investment in the Administration’s strategy to create jobs, promote growth and strengthen the middle class. However, Congress has failed to grant Trade Promotion Authority (TPA) to the Executive Branch since the last one expired on July 1, 2007. This special report discusses […]

  • Special Report: A Higher Tax Rate on Dividends: Would it Impact U.S. Economic Recovery and Capital Formation?

    The ACCF CPR presents this Special Report to help policymakers, the public and the media understand the short and long run consequences of raising tax rates on dividends.

  • The Impact of Raising Tax Rates on Individual Capital Gains

    Background

    Even though the recession has been officially over since 2009, the U.S. economy continues to struggle with high unemployment and sluggish economic growth. Decision makers face major uncertainties, including the scheduled expiration of decade old tax reductions for families and individuals at all income levels, the so-called “Bush Tax Cuts.” One component of the expiring tax cuts is the individual capital gains tax rate. Without any action, the top individual capital gains tax rate will increase to 20% from the current top rate of 15%. As a result of the recently passed 2010 health care legislation, there will be an additional 3.8% tax on unearned income beginning in 2013. Coupled with the 2013 scheduled restoration of the “Pease Limitation” on itemized deductions (which will impose roughly a 1.2% marginal rate on capital gains), individuals will face a top federal rate on capital gains of 25%. This sharp 67% increase on investment income will no doubt have negative consequences on an already struggling U.S. economy. This testimony presents evidence on the impact of capital gains taxes on entrepreneurial activity, discusses how the U.S. tax rate compares to our trading partners and how letting the tax rate rise will impact the overall U.S. economy and job growth.

Recent Articles

  • Clinton’s capital gains sliding scale is a slippery slope

    In her economic speech today, presidential candidate Hillary Clinton (D) proposed a sharp spike in the capital gains tax as an end to “quarterly capitalism.” Specifically, Clinton would replace the current maximum capital gains tax of 20 percent for investments held for at least one year. Instead, there would be a sliding scale of taxation […]

  • Why Is Capital Investment Consistently Weak in the 21st Century U.S. Economy?

    A new report sponsored by the ACCF and completed by The Aspen Institute program on Manufacturing and Society in the 21st Century and the MAPI Foundation explores the various causes of sluggish capital investment, discusses the damaging implications this ongoing trend has had on U.S. productivity and economic growth, and finally suggests policy recommendations to stop the slide.

  • A Bipartisan Breakthrough on Trade

    Washington, D.C., witnessed a rare but welcome event this week when Republican leaders decided to back President Obama’s request for “fast track” trade authority. This would establish negotiating guidelines for the president and guarantee him an up-or-down vote in Congress on any trade deal he signed. This in no way means that the fight is […]

  • We need trade promotion authority more than ever

    Trade promotion authority is showing signs of life as Republican congressional leaders and senior White House officials try to forge ahead on the one critical area on which they share common ground.  The usual battle lines have been drawn.  Top business groups are urging passage to grant authority for negotiating trade deals.  Union leaders have […]

Energy and Climate Change Policy

ACCF is an internationally recognized economic authority on energy and environmental policy issues. Because energy use and economic growth go hand in hand, policymakers should develop a flexible, long-term approach to reducing the growth of greenhouse gases (GHGs). This will require a global effort based on technological innovation and technology transfer to developing countries where GHG emissions growth is most rapid. In addition, U.S. tax policies should be reformed to reduce the cost of capital for new energy efficient and pollution control technologies.

Research Publications & Testimony

Recent Articles

  • Obama climate pledge on ‘very shaky legal ground,’ critics say

    By Zack Colman EXCERPTED “The reason the administration is on such shaky legal ground is they are attempting to achieve their goals through regulation and administrative fiat,” Mandy Gunasekara, GOP counsel on the Senate Environment and Public Works Committee said at a Washington event assembled for diplomats whose nations will be participating at the United […]

  • Critics tell Washington’s diplomatic corps that U.S. climate pledge is ‘shaky’

    Lisa Friedman, E&E reporter Published: Wednesday, July 22, 2015 EXCERPTED In a briefing yesterday aimed at members of Washington, D.C.’s diplomatic corps, leaders from the U.S. Chamber of Commerce, former Bush administration officials and GOP Senate aides said the Obama administration’s commitment to slash greenhouse gas emissions cannot be achieved, is on “shaky legal ground” […]

  • Critics Blast Obama’s Climate Change Goals For Paris

    By Michael Macagnone Law360, Washington (July 21, 2015, 8:15 PM ET) — EXCERPTED The numbers from President Barack Obama’s proposal — to reduce greenhouse gas emissions by at least 25 percent below 2005 levels by 2025 — simply don’t add up, according to Stephen Eule, current vice president at the Chamber of Commerce’s Center for 21st […]

  • U.S. RESOURCE NATIONALISM: The Impact of Energy Trade Restrictions on National Security

    Antiquated federal laws that severely limit U.S. energy exports undermine long-term U.S. foreign policy interests by threatening the international free trade regime, obstructing development goals in the poorest countries, and failing to alleviate energy security vulnerabilities of key allies and major world economies. Maintenance of these restrictions also violates U.S. international commitments. Unfortunately, efforts to […]

Tax Policy

For three decades, the American Council for Capital Formation has been a leading and effective advocate of sound economic policies to promote sustained economic growth, job creation, and international competitiveness. With its bipartisan approach, the breadth and diversity of its support in the business community, and long experience working with policymakers and the media, the ACCF has been instrumental in focusing attention on the need for economic policies to enhance capital formation.

Research Publications & Testimony

Recent Articles

  • Clinton’s capital gains sliding scale is a slippery slope

    In her economic speech today, presidential candidate Hillary Clinton (D) proposed a sharp spike in the capital gains tax as an end to “quarterly capitalism.” Specifically, Clinton would replace the current maximum capital gains tax of 20 percent for investments held for at least one year. Instead, there would be a sliding scale of taxation […]

  • Who Would Have Guessed? Bipartisanship on Tax Reform.

    The Senate Finance Committee announced Wednesday that five bipartisan working groups had completed reports analyzing the tax code and ways to make it simpler, fairer, and more efficient. It’s rare that Democrats and Republicans find common ground on any major issue in Washington, but on tax reform it is monumental. Business groups, interest groups, and other stakeholders in […]

  • What’s Behind Ron Wyden’s Bipartisanship

    Mark Bloomfield in WSJ’s Think Tank: Amid Washington’s usual gridlock, there are occasional moments of bipartisanship, such as when Sen. Ron Wyden (D., Ore.) recently joined with Senate Finance Committee Chairman Orrin Hatch (R., Utah) and House Ways and Means Committee Chairman Paul Ryan (R., Wis.) to introduce Trade Promotion Authority legislation.

  • Overhaul the Tax System Like It’s 1913, Not 1986

    Two weeks from Tax Day, taxpayer frustration is high. As lawmakers seek a path to tax reform, the lessons of the Revenue Act of 1913 and the Tax Reform Act of 1986 might be helpful to recall. In 1913, the major source of revenue for the government was a complex, lobbyist-driven set of tariffs, which had become politically unpopular and economically unsound. […]