It is said that the Obamacare proposal has an increase in tax on investment income of 3.8%. When you can only write off 3K of loss in a year, and your positive investments are taxed at 15% and up, and now by another 3.8%, you wonder why anyone would bother to invest in the stock market at all. The risk/reward ratio is so skewed that unless you are really successful, and successful year after year, its likely not worth the risk. You could easily have a heavy tax bill on a year where you lost money, negating the returns on many good years.
Better to get a certain 3 or 4% in bonds or CD's than put your money in the market.
What do you think that will do to the stock market once this is widely realized?