Keeping the Bush Tax Cut in Proportion

Brief

Keeping the Bush Tax Cut in Proportion

Commentary
April 26, 2001

Abstract

[Financial Times] Just how big is the tax cut under debate in the US? How big in relation to the economy and current tax collections? And how big compared with past cuts? We know that President George W. Bush and the House of Representatives want $1,600 billion of tax cuts over 10 years, that the Senate has counter-proposed a cut of $1,200 billion, and that a compromise will be somewhere in between. But what does this mean?

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