Abel on Capital Taxes
I think this is akin to the old argument that, from an efficiency standpoint, you should sock it to old capital but be nice to new capital.
Random Observations for Students of Economics
I am the Robert M. Beren Professor of Economics at Harvard University, where I teach introductory economics (ec 10). I use this blog to keep in touch with my current and former students. Teachers and students at other schools, as well as others interested in economic issues, are welcome to use this resource.