The Case For An Across The Board Tax Rate Reduction

Policy Backgrounders | Taxes

No. 140
Wednesday, September 25, 1996
by Bruce Bartlett


Notes

  1. These data come from the National Income and Product Accounts of the United States, which more accurately represent the true picture of taxation than does the federal budget. They are published in the Economic Report of the President, the Survey of Current Business and elsewhere. The principal differences between these figures and the more common figures in the budget are that the NIPA data are compiled on a calendar-year basis, rather than a fiscal-year basis, and they include certain federal receipts that are included in the budget not as receipts but as negative spending. The most important of these receipts are government employee contributions for retirement and Medicare Part B premiums. For an explanation, see Budget of the United States Government, Fiscal Year 1996: Analytical Perspectives (Washington: U.S. Government Printing Office, 1995), pp. 267-70. This chapter did not appear in the FY 1997 budget. 
  2. Congressional Budget Office, The Economic and Budget Outlook: Fiscal Years 1997-2006 (Washington: U.S. Government Printing Office, 1996), p. 39. 
  3. J.D. Foster, "Analysis of the Dole Economic Plan," Tax Foundation Special Report No. 62, August 1996, p. 3.
  4. John Cassidy, "The Growth Fallacy," New Yorker, August 12, 1996, pp. 34-37.
  5. Economic Report of the President (Washington: U.S. Government Printing Office, 1996), ch. 2.
  6. Bureau of the Census, Income, Poverty, and Valuation of Non-cash Benefits: 1994 (Washington: U.S. Government Printing Office, 1995), p. B-8.
  7. Budget of the United States Government, Fiscal Year 1997: Analytical Perspectives (Washington: U.S. Government Printing Office, 1996), p. 13. The table actually shows the impact on the budget of lower GDP, but the numbers are symmetrical; that is, the magnitude of the effects are the same regardless of the direction of the change.
  8. For the administration estimate, see A Program for Economic Recovery (Washington: The White House, February 18, 1981), p. 7. The CBO estimate may be found in Congressional Budget Office, Economic Policy and the Outlook for the Economy (Washington: U.S. Government Printing Office, March 1981), p. 47.
  9. Lawrence B. Lindsey, The Growth Experiment (New York: Basic Books, 1990), pp. 74-76.
  10. Congressional Budget Office, An Analysis of the Roth-Kemp Tax Cut Proposal (Washington: U.S. Government Printing Office, 1978), p. 45.
  11. Congressional Budget Office, Understanding Fiscal Policy (Washington: U.S. Government Printing Office, 1978), p. 25. 
  12. Congressional Budget Office, How Changes in Fiscal Policy Affect the Budget: The Feedback Issue (Washington: U.S. Government Printing Office, 1982), p. 16.
  13. Lawrence Chimerine, "Return of the Supply-Siders," Washington Post, July 23, 1996

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