05 Jun Question A proposal in the government budge
Question
A proposal in the government budget set forth in 2013 placed a limit on the total amount of savings that can be accumulated in tax-preferred retirement accounts to about $ 3 million (U.S. News and World Report, April 10, 2013). The White House has argued that wealthy individuals have accumulated “substantially more than is needed to fund reasonable levels of retirement saving,” and that the tax deductions from these excess savings cost the government billions each year. Do you agree or disagree with proposal, why or why not? How do these sorts of proposals affect the market for loanable funds?
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