Interesting article. I also commend the work of Williams. However I believe it is appropriate for government to charge and collect tax to promote public good which capitalist-inclined investors won't. I also think that as long as the after-tax return makes sense to an investor capital investment will continue.
By the way, if I put a certain amount into an investment (or savings instrument) with the goal of getting an increase (or return) after a period, does it matter whether the return came only as capital gains or dividend+capital gains.