Goolsbee on Romney's Tax and Budget Plans
By David Henderson
Hard to know, then, if the wider public noticed the spat over a nonpartisan budget think tank’s finding that for Mitt Romney’s tax plan to avoid increasing the deficit, it would need to raise taxes significantly on the middle class. Researchers for the Tax Policy Center, a project of Brookings and the Urban Institute, found that Romney’s plan would cut taxes for individuals by about $4 trillion over the next 10 years, on top of the costs of extending the Bush tax cuts, by cutting rates by 20%, abolishing the estate tax, and abolishing the Alternative Minimum Tax, among other things.
This is from Austan Goolsbee, “Mitt Romney’s Tax Plan and the Middle Class,” Wall Street Journal, August 21, 2012. I promised Wednesday that I would highlight good articles from that day’s publication. This is one of them.
Add in Mr. Romney’s promises to raise defense spending by more than $2 trillion, to cap total spending at 20% of gross domestic product, and to amend the Constitution to require a balanced budget–and there is no way to even remotely do that without crushing Social Security and Medicare.