You'll bitch and moan too, because your retirement benefits are taxed with the same tax: higher capital gains taxes means less money for you, whether you have a defined benefit plan or a 401k.
See, you need to get a financial education. Neither defined benefit, nor defined contribution plan distributions are taxed via capital gains. It's all ordinary income. That's one of the trade-offs for tax free growth pre-distribution phase.
Also, in case the abstract thinking is too much, A society in which one day you have 100% employment and X production, is no more productive the day after 20% of the workers are laid off. Sure, an individual company may be, but the society... no. Not unless those workers actual get another job. Idle workers are not productive, whether they are on someone's payroll, receiving unemployment, or begging in the streets.
Meanwhile, based upon my interactions with actual companies, I'd say that their 'products' (physical or non-physical) have lower quality due to their lack of employees, so their production value has probably gone down in real terms.