New research shows that spending cuts are superior to tax hikes when it comes to reducing the deficit.
Following on the Tax Cuts and Jobs Act and the massive discretionary spending increase authorized in the Bipartisan Budget Act of 2018, it is even more critical now that lawmakers invoke a powerful budget tool this year-reconciliation-to reduce the growth in entitlement spending.
In the long run, structural government spending increases, such as entitlement spending, can't be controlled by hiking up taxes.
By actively reining in entitlement spending, the government addresses the problem of growing spending at the source.
Unlike tax increases, spending cuts directly enhance the confidence business owners and investors have in the economy.
The recently passed Tax Cuts and Jobs Act is a good first step to reviving business confidence and U.S. investment through lower corporate tax rates-but even strong economic growth cannot combat unsustainable federal expenditures.
The Bipartisan Budget Act of 2018 doubled down on growing spending by authorizing the single-largest spending increase since the Great Recession.
http://dailysignal.com/2018/02/21/spending-cuts-not-tax-hikes-boost-economic-growth/
Following on the Tax Cuts and Jobs Act and the massive discretionary spending increase authorized in the Bipartisan Budget Act of 2018, it is even more critical now that lawmakers invoke a powerful budget tool this year-reconciliation-to reduce the growth in entitlement spending.
In the long run, structural government spending increases, such as entitlement spending, can't be controlled by hiking up taxes.
By actively reining in entitlement spending, the government addresses the problem of growing spending at the source.
Unlike tax increases, spending cuts directly enhance the confidence business owners and investors have in the economy.
The recently passed Tax Cuts and Jobs Act is a good first step to reviving business confidence and U.S. investment through lower corporate tax rates-but even strong economic growth cannot combat unsustainable federal expenditures.
The Bipartisan Budget Act of 2018 doubled down on growing spending by authorizing the single-largest spending increase since the Great Recession.
http://dailysignal.com/2018/02/21/spending-cuts-not-tax-hikes-boost-economic-growth/
No comments:
Post a Comment