2017 Tax Law: Impact on the Budget and American Families

House Budget,  2017 Tax Law: Impact on the Budget and American Families, February 27, 2019

There is absolutely no reason to infer that TCJA did anything for growth. Tax cuts for the wealthy might increase corporate investment, but only when interest rates are high. They are not.

The Balanced Budget Act of 2018 is entirely responsible for increases in government purchases and consumption (by beneficiaries, government employees, contractors and secondary effects in private sector households). Exports and imports may have a change due to the trade war, not TCJA. Private sector investment in plant and equipment is on a longer time line for any recent intervention to be important.

Other investments in asset inflation have ABSOLUTELY NO EFFECT ON ECONOMIC GROWTH. If Mr. Gale believes otherwise, please provide detail of how such gambling has any effect on GDP aside from McMansions and other luxury goods.