The Impact of Different Capital Gains Tax Regimes on the Lock-In Effect and New Risky Investment Decisions.

Key Points

• This research examines the effects of various capital gains tax regimes on investment behavior.
• Assesses five different capital gains tax regimes
• Compares portfolio allocations of subjects
• Analyzes relationship between tax consequences and investment decisions
• Finds variations in portfolio allocations based on tax regimes
• Indicates a relationship between tax consequences and the lock-in effect