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Politics : The Trump Presidency
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To: Alex MG who wrote (43785)11/6/2017 9:32:01 PM
From: TimF  Read Replies (1) of 361313
 
giving tax breaks to the wealthy and to corporations who already have hoards of cash is the same as spending money

Narrowly targeted tax breaks aren't really the same thing (its taking less from the taxpayers, not giving them anything), but they have the same fiscal effects and some of the same other negative effects as well.

Broad tax rate reductions, aren't the same thing, and don't have most of the negative effects. They do tend to reduce revenue (if not as much as simple projections would suggest), at least in the short to medium run. But they don't create the same type of distortions and negative incentives that many types of spending or narrowly targeted tax cuts have. And they don't move put more of the economy under government control the way increased spending does.
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