I realize the market is slanted against small startups. I would like to see a better playing field for these companies as I admire risk-takers and innovators in all areas, and this is where I have always found the best work. However the rich make much of their money by investing in these small companies. I hate the rich as much as anybody, but I don’t see how to square this circle.
The capital gains tax has a huge impact on the rate of job creation. This is because more than 100% of net job growth comes from startups. As a whole, companies more than 5 years old are continuously shedding jobs. “Angel Investors” invest capital in startups to pursue capital gains, so eliminating the capital gains tax for those Angels will cause them to fund more startups.