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Motley Fool Hidden Gems Investing

Motley Fool Money: 12.10.2010

Motley Fool Hidden Gems Investing

The Motley Fool

Investing, Business

4.33.1K Ratings

🗓️ 10 December 2010

⏱️ 39 minutes

🧾️ Download transcript

Summary

China raises reserve requirements. Netflix gets added to the S&P 500.   Kraft goes to court against Starbucks.  And Howard Stern resigns with Sirius XM.  On this week's show, we tackle those stories and talk about the toy business with industry expert Chris Byrne. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Everybody needs money. That's why they call it money.

0:08.0

From full global headquarters, this is Motley Fool Money.

0:19.0

Welcome to Motley Fool Money. Thanks for being here. I'm your host, Chris Hyln.

0:22.0

I'm joined by Motley Fool's Senior Analyst, Seth Jason, James Early, and Ron Gross.

0:27.0

Guys, good to see you. Good to see Chris.

0:29.0

All right, on this week's show, Netflix gets a promotion and Starbucks and Craft start a food fight.

0:35.0

We'll talk toys with industry expert Chris Byrne, plus we've got a few stocks on our radar.

0:40.0

But we begin with the big macro.

0:42.0

Next week, the Senate will consider a bill to extend the bush tax cuts.

0:46.0

Now, James Early, there are obviously a lot of moving parts to a story like this.

0:50.0

But as investors, we care about the capital gains piece.

0:53.0

Where do things stand and what's it going to mean for investors?

0:56.0

Sure, Chris. This tax stuff is very important. It affects all Americans, except Wesley Snipes.

1:02.0

Wesley started his prison term this week.

1:05.0

Exactly. The whole of itself is just a lame duck moved by the House Democrats.

1:09.0

I think they would even agree with that. It's likely to pass.

1:12.0

I think Obama will be coming up for re-election before you know it.

1:15.0

I don't think he wants to be known as the guy who raised taxes in a fragile economy.

1:20.0

But I think you hit on the nail. The key point here, especially to me, is a dividend investor,

1:24.0

is that we're going to maintain parity between dividend rates and capital gains tax rates.

1:28.0

If that had not happened or that does not happen, if dividend rates go up much higher,

1:32.0

that drastically or at least meaningfully changes the incentive of corporations away from dividend policy.

...

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