In the run-up to this weekend's G-8 summit at Camp David, journalists have unfavorably compared European "austerity" with Barack Obama's economic policies.

Higher tax rates on high earners, even if they produce less revenue, are an attempt to centralize power in government and to limit the autonomy and countervailing power of individuals in the voluntary sector. Which is why the liberal bloggers cheer them on.

The following is a summary highlighting testimony by AEI Director of Economic Policy Studies Kevin Hassett to the Joint Economic Committee at a hearing entitled "How the Taxation of Capital Affects Growth and Employment."

Obama wanted to raise capital gains rates even if the government got less revenue because of "fairness." Evidently he likes taking people's money away. What he doesn't explain is why this makes anyone better off.

AEI economist and tax expert Alan Viard says the proposed legislation to extend the Bush tax cuts for the middle class while allowing the cuts to expire for high-income earners would cause the most damage to the economy.

If President Obama is interested in promoting growth now and in the future, he should commit to retaining the low tax rates Congress passed in 2003.

State income taxation of Social Security benefits could reduce the fiscal burden on America's youth and future generations, increase saving, and promote economic growth.

Earlier this week President Obama proposed tax cuts for business, but he could assuage fears that his move is more about politics than economics by committing publicly to pursue a tax reform next year that is guided by the same insights that motivated the expensing proposal.