Good article. I am likewise amazed at how much of the media have been taken in by the capital gains myth. Much of the myth seems to be based on a superficial comparison of the maximum capital gains tax rate and capital gains realizations as in the graph in a Wall Street Journal editorial titled "Obama's Tax Evasion". I describe the problems with that editorial at http://usbudget.blogspot.com/2008_04_01_archive.html. I just ran across a clip on the CNBC website that appears to use the exact same graph. As with the Wall Street Journal graph, it looks at capital gains realization, not revenue and looks at the maximum tax rate, not the average tax rate. If one looks at the MAXIMUM tax rate, one should look only at the revenues that come from that rate. Otherwise, one should look at the AVERAGE tax rate. In any case, thanks for your instructive article.