Private Equity Fees vs. Capital Gains Taxes

While private equity leaders implore the government to further reduce capital gains taxes to somewhere around 8%, they take 20% of the profits from their efforts giving the other 80% to investors. Twenty percent used to be the federal capital gains rate but the Bush administration reduced it to 15% thus "stimulating the economy".

Wouldn't private equity underwriters (PEU's) reducing their take do the same thing, put more money in the pockets of investors to spend? They have their annual 1 to 3% of total funds managed as a safety net. Think of how much more the economy would be stimulated with PEU's taking the same rate as the federal capital gains tax?

I propose Congress enact legislation that would tie investment firms charges to the capital gains tax rate. If it drops to 8% then so does Carlyle's profit sharing percentage. If the aim is to stimulate the economy then all organizations should do their part...