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July 20, 2018 

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CAPITAL GAINS TAX: A tax on the difference between the sales price of a "capital" asset and it's original purchase price. The capital assets subject to this tax include such things real estate, stocks, and bonds. This tax is frequently a source of controversy between the second and third estates. In that the second estate owns and sells a lot of this sort of capital, they don't like to pay taxes on capital gains. However, because the third estate doesn't have much capital it seems like a pretty good thing to tax. Those who oppose the capital gains tax argue that it takes away funds that would be used for further capital investment, which thus inhibits economic growth. Those who favor it argue that helps equalize unfairly unequal income and wealth distributions.

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401(K) PLAN: A savings retirement plan, set up by an employer, that allows workers to set aside a portion of their wages and salaries. The employer can match the contributions made by the employee. Like other private pension plans, income diverted to 401(k) plans are tax deferred, that is, taxes on not paid on the income until it is withdrawn during retirement.

     See also | Social Security | Keogh plan | individual retirement account | investment | saving |


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GOVERNMENT ENTERPRISES

Government owned and operated productive activities that operate much like private sector firms. They hire resources and purchase other inputs, then produce goods sold through markets. In some cases, government enterprises compete directly with private firms. One common example of a government enterprise is a city-operated electrical generation and distribution system. In some cities, this service is provided by private, for-profit, businesses. In other cities it is provided by government. Other examples of government enterprises include urban transportation systems, parks and recreational facilities, and communication systems.

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BLUE PLACIDOLA
[What's This?]

Today, you are likely to spend a great deal of time browsing through a long list of dot com websites trying to buy either a 50-foot blue garden hose or a turbo-powered vacuum cleaner. Be on the lookout for telephone calls from long-lost relatives.
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A scripophilist is one who collects rare stock and bond certificates, usually from extinct companies.
"There is no point at which you can say, „Well, I'm successful now. I might as well take a nap.¾"

-- Carrie Fisher, actress, writer

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