Archive for the ‘Tax Policy’ Category

Why massive tax cuts should be way off the table

October 1st, 2015

Over at the WaPo. There’s a lot more to say about this point about how we’re going to need more, not less tax revenue in the future, than I had space. A few points that ended up of the edit-room floor. –Larry Summers has stressed, the relative prices of the things government buys–health care, education–are… Read more

Dynamic Scoring in Action: Unwarranted Certainty

August 5th, 2015

Once the Republicans took the majority in Congress, they instructed the budget scorekeepers to do “dynamic scoring:” building macroeconomic feedback effects into their revenue estimates from proposed changes to tax policy. Because economists broadly assume that taxes distort decisions about activities with growth impacts, like labor supply or capital investment, cutting taxes often generates more… Read more