Let’s begin our consideration of the future role of the employer with the issue of tax incentives.
I once heard a responsible thinker on the subject say, without any sense of irony, that tax incentives should be provided for employer health care programs because employers and employees like those programs. That, to me, sounds like a better argument for why tax incentives aren’t needed.
We have to keep in mind our discussion of tax policy at the end of Part I and the more detailed discussion of taxation in Part II. The system of retirement savings tax incentives we currently have is serving two separate objectives of two separate (although to some extent overlapping) constituencies.
Consider: if we were only ...