The GOP Federal Tax Proposal: Multiple Reasons to Worry
The outline of the tax proposal released by President Trump and Republican House and Senate leaders should worry all Pennsylvanians for multiple reasons. First, the plan calls for adding $1.5 trillion to the deficit over the next ten years. This is remarkably hypocritical, given that Republicans blamed President Obama for deficits even as they declined year after year after the end of the Great Recession. And it is economically risky at a time when the economy is growing. Republicans claim that tax cuts will generate much faster economic growth. This is unbelievable, given the record of previous huge tax cuts during times of economic growth. And, of course, most professional economists, on both the Left and Right, do not believe it at all. Second, the likely result of added deficits will be new pressure to cut federal spending to balance those deficits, with most of those cuts coming from health… Continue reading