The government isn't subsidizing the process, the government is taking its cut out of any capital gains. In the case of a "loss" of some or all of you "capital", the government isn't going to be sending you a rebate...
If Freepers, "supposedly the cream of the crop" are dumbed down to think like this, I'm afraid we're doomed as a nation...
the government isn’t going to be sending you a rebate...
But govt does want to reduce their risk that is why they limit capital loss to only a 3,000 loss per year. But you don’t lose it, just carry it forward against future gains and years.