15. Comprehensive Tax Code Overhaul Is Overdue Some right-wingers in Congress claim that tax cuts pay for

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15. Comprehensive Tax Code Overhaul Is Overdue Some right-wingers in Congress claim that tax cuts pay for themselves. Despite their insistence, there is ample evidence and general expert agreement that they do not. Source: The Washington Post, April 24, 2006

a. Explain what is meant by tax cuts paying for themselves. What does this statement imply about the tax multiplier?

b. Why would tax cuts not pay for themselves?

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Parkin Macroeconomics

ISBN: B0070OLVAC

10th Edition

Authors: Michael Parkin

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