Archive for the ‘Tax Policy’ Category

Share buybacks, our investment deficit, and bad tax ideas

July 13th, 2016

A quick note with more pictures than words. –Investment, both private business investment and public investment (infrastructure), have been weak of late. –In fact, as a share of GDP, business investment has consistently hit lower peaks over the last few business cycles. –Yet we know corporate profitability is high and the cost of capital is… Read more

Tax testimony at the JEC: Debunking supply-side mythology.

April 21st, 2016

Testified yesterday before the Joint Economic Committee–here’s my full write up. Here are my main findings: Fairness, simplicity, and revenue raising are often complementary: by closing regressive loopholes in the tax code, we reduce incentives to game the system, eliminate wasteful tax breaks that exacerbate inequality without promoting growth, and raise more revenues. Based on… Read more

Two tax points: Why is the biz code still a mess and why are we still arguing about trickle-down?

April 13th, 2016

1) Our duct-taped tax code This WaPo editorial provides a clear and efficient explanation of the inversion problem, where a US company basically moves its tax mailbox, as opposed to its operations, to a low-tax country. The ed board argues that the villain here is neither the Obama administration’s Treasury Dept nor the companies. The… Read more

Conflict of interest and inversions: two very big deals that must…MUST…not go unnoticed.

April 6th, 2016

OK, it’s official: my mind is blown by two new, smart, common sense, progressive initiatives that the Obama administration–with great input from Treasury and the Labor Dept.–has managed to implement this week. Each deserves, and will get, individual attention and explanation from me. But for now, let us marvel at what’s happened here, especially as… Read more