Childish Congress

The pitchfork-wielding anti-bonus mob stirred up by American International Group is making for lousy tax policy. Outraged US legislators are planning punitive taxes on bonuses not just at AIG but at all recipients of government funds. The hot-headed and unfairly retroactive changes could hurt investor confidence, undermine President Barack Obama’s credibility and damage the still valuable US finance sector. AIG has been especially irresponsible, both with its risk-taking during the credit boom ...