Do you think that tax cuts reduce tax revenue

Assignment Help Other Subject
Reference no: EM132795881

Question: Exploring Tax Cuts, Jobs, and Tax Revenue

There has been discussion about whether the Tax Cuts and Jobs Act that took effect in 2018 is increasing tax revenue. Tax revenue can be thought of an as average tax rate multiplied by taxable income. If the average tax rate falls while taxable income stays the same, tax revenue will fall. But what if the tax cuts increase taxable income? The major schools of thought in macroeconomics (Keynesians?and?Neoclassicals) believe that tax cuts increase economic growth. Economic growth increases taxable income. Our economic growth before the pandemic brought unemployment down to historically low levels.

Reply to these questions to begin your discussion:

Do you think that tax cuts increase economic growth and taxable income so much that tax revenue increases?

Or do you think that tax cuts reduce tax revenue? Explain your answers.

Reference no: EM132795881

Questions Cloud

Determine investment option considered independent project : Determine investment option is considered an independent project and why? The company plans to purchase a digitally controlled machinery
Capital budgeting decision : Capital Budgeting Decision Since LSUS corporation is producing at full capacity, Amanda has decided to have Han examine the feasibility of a new manufacturing
What are the covariance of stock a and b : Consider the following table whic gives historical returns on two stocks and the market.
Determine the amount of the american opportunity credit : Determine the amount of the American Opportunity credit for 2020. Paola and Isidora are married; file a joint tax return; report modified AGI of $142,415
Do you think that tax cuts reduce tax revenue : There has been discussion about whether the Tax Cuts and Jobs Act that took effect in 2018 is increasing tax revenue. Tax revenue can be thought.
What is the new eps and dfl : Tax rate is 35% with 50,000 outstanding shares. they take on $300,000 in debt and pay half 25,000 of the outstanding shares. What is the new EPS and DFL?
What are the building blocks of media literacy : 1. What are the 3 building blocks of media literacy?
Prepare the journal entry to record payment : Prepare the journal entry to record payment using the net method and assuming Boise did not pay the invoice due until August 25
Do you feel that individuals should be held accountable : In today's technologically advanced society, is there really privacy? Based on your own personal experiences with social media.

Reviews

Write a Review

Other Subject Questions & Answers

  Challenges for implementing triple-bottomline reporting

What are some of the most important challenges for implementing triple-bottomline reporting? In your opinion, is single- or triple-bottomline report better

  Reflect on a patient that you cared for

Newman pointed out that, "nurse client relationships often begin during periods of disruption, uncertainty, and unpredictability in patient's lives".

  What is a taxonomic classification system for bloodstains

What is a Taxonomic Classification System for Bloodstains? Why is it important to use an objective approach when classifying bloodstains

  Analyze the governments role in protection of environment

Analyze the government's role in the protection of the environment. Be sure that your analysis includes a look at one of the following: conservation, environmentalism, protection, global warming, and energy concerns.

  How will you prioritize your care of amira

How will you prioritize your care of Amira, what assessments will you complete, and in what order? Please provide rationale for choosing this order.

  Explain the effects of plagiarism extend beyond the walls

Grand Canyon University takes plagiarism seriously; however, the effects of plagiarism extend beyond the walls of the University. How can plagiarism affect your professional career beyond your doctoral pursuit at GCU?

  Develop a lesson plan with a formative assessment

Using the Theories and Models for Developing Effective Instruction and Assessment Practices for ELs document, develop a lesson plan with a formative assessment.

  Discuss about the federal emergency management policy

In the Congressional Research Service Report for Congress, Federal Emergency Management Policy Changes After Hurricane Katrina: A Summary of Statutory Provisions (2006), eight areas are identified for policy changes to improve FEMA's capabilities...

  Annotated bibliography and a reference

What is the difference between an annotated bibliography and a reference?

  Summarize how you would explain the diagnosis

Summarize how you would explain the diagnosis to Kaylin. Explain how you would engage her in treatment, identifying potential cultural considerations related.

  Strategic plan to grow the business or organization

Conduct a quick SWOT analysis to determine areas that offer opportunities for change.

  How do you feel about the notion

how does the seeing rampant consumption of caffeine add or detract from the society at large?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd