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Professor Peter Morici on the increased taxes on Americans due to the president’s health-care law.
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There's still so many questions surrounding health care law that was upheld by the Supreme Court last week.
But what does it mean for the future of this economy we're joined now by University of Maryland economics professor Peter -- state good morning Peter good to see.
I point to be.
Top read story.
On the Wall Street Journal website and it is getting ready for the new investment tax and I'm talking about that three point 8%.
Surtax on investment and -- for people making more 200000 dollars a year.
Banks still the health care law what does that do in the short run to the stock market and the economy.
-- in the short run it won't have much of an effect but longer term it means that people are gonna be to get higher returns on this stock so they're not gonna invest in them in -- look for other alternatives.
It's gonna take money out of the market and essentially make the value stocks lower.
And I think people realize that at the bush tax cuts are not extended at the end of the year because everything.
Goes away unless congress acts you're going to have a top -- On dividends.
That top rate on capital gains.
Will go up to 23 point 8%.
And the top rate on dividends will go to 43.
Point 4% that is crazy.
-- so you put on top of that state local taxes.
I mean people in New York City for example they're facing taxes you know close to 60% in some cases that's absurd.
This president simply wants to but the private sector out of business you know he wrote a book about some time spent in the private sector was very brief.
Which is they felt like an enemy behind private sector lines.
That the president simply doesn't understand how markets work the importance of incentives for innovation and to get people to create jobs as a jobs killer what is.
To do for health care costs and your estimation because again as one of the greatest concerns the economy is the increasing amount of money that we spent on health care -- everything else.
They'll be this scene in the -- scene this scene is the cost the health care will go up even higher.
Taking money away from working people that subsidize healthcare will drive up the price on top of that it's gonna impose lots of unseen cost more bureaucrats in Washington and Europe are bureaucrats -- your doctor's office.
The comply with the mountain of regulations that's coming down on them there's going to be very much like what happened when Dodd-Frank and the banks.
Small banks can't make loans now you call a doctor may be at 3 o'clock AM is is sorry Peter I gotta finish filling up my paperwork today.
Now I don't know what -- what doctors here -- today but I haven't gotten doctor on the phone.
Shape whether it is 10 o'clock in the morning at 3 o'clock in afternoon I have are I mean he can come from come off later this is Smart guys I got to get a doctor on the far okay I'm sure they've really lobbied for the -- That lives making it let's talk about what the states are doing however and so that critical part of the Supreme Court ruling last week we have Florida.
The governor there now saying that Florida -- would not expand Medicaid and -- not participate.
In the on health exchanges on top of Louisiana and Wisconsin now how does that impact implementation align its effectiveness.
But they don't participate in Medicaid.
You know the expansion of Medicaid that it will drive up hospital cost because they were counting on getting more folks with Medicaid not coming in without insurance.
And that's gonna cause the hospitals themselves to start to lobby for some sort of provision on the rates the taxes they were gonna pay.
And so forth not participating in the exchange this -- in exchange of Florida.
Federal government that's gonna implemented at the state government doesn't.
And I don't know if I was a governor media Dolores the law I don't know that if I was a governor I'd wanna leave it to Washington to implement the exchange of Florida.
I think I'd want to do it myself.
-- Peter it was great to see you thank you so much we'll see you very soon Peter Marie C.
Down in Washington DC weighing on and on the health --
