Fiscal Follies
11/14/2017 |
The Congressional budget resolution allowing for tax reform proposes increasing the debt over the next decade by $1.5 trillion on top of the already projected $10.1 trillion debt increase. The argument is that faster growth will pay for itself. I am skeptical. Tax cuts can pay for themselves if the reduction in rates is huge, or if the economy suffers from high levels of unemployment. Neither is currently the case.