Russia to eliminate their capital gains tax

Russia will scrap capital gains tax on long-term direct investment from 2011, President Dmitry Medvedev has said.

Hmmm… Interesting. Why on earth would they do that?

Mr Medvedev told the St Petersburg International Economic Forum that long-term direct investment was “necessary for modernisation”.

While Obama tries to turn the US more socialist, the former socialists (who probably know a thing or two about the joys of socialism) are cutting taxes to stimulate long term capital investment.