This nugget of wisdom from our co-founder Steve Forbes’s latest column:

Republican tax writers should emblazon on their minds and ceaselessly remind their colleagues that cutting the capital gains tax immediately means more revenue—not a year or two down the road, but right away. Instantly. It’s bipartisan: When this exaction was reduced in 1997 under Democrat Bill Clinton, tax receipts went up nicely in 1998; when this tax was cut under Republican George W. Bush in 2003, it meant more revenue in 2004.

People more readily realize gains on their securities when there’s a lower tax penalty for doing so. Whacking the current 23.8% to 15% would render such a delightful impact. Investors are sitting on mammoth stock market gains. They would love the chance to pocket some of those profits and redeploy the rest to other opportunities. Remember, you want this kind of mobility in capital for new investments instead of its being frozen in existing ones.

Forbes is right that lower capital gains taxes free up more capital for investment for new investments.