tax cuts

Dennis Breslin dbreslin at ctol.net
Tue Feb 27 20:03:53 PST 2001


I heard the same thing and I'm humbled by my ignorance. Apparently back in 1978 and again in 1981 capital gains taxcuts sent revenue just pouring into the Treasury. Or according to the talking head interviewed. Uh, really?

Didn't lowering the tax rates have an affect on the budget deficit in the 80s? And income distribution? And wealth distribution? Is this just another opportunity for Laffer to earn more royalties on his intellectual property?

And does anyone know to what extent the claims about the estate tax forcing families off the farm and factory owners laying off their loyal employees are true? I feel I'm in the presence of an urban legend about the unjust burdens borne by the assets of the recently and wealthy deceased. Where's Sawicky when you need him?

Conventional politics have their moments. "Soup and scripture, sour and scripture...something, something...get the picture?"

D. Breslin

Leslilake1 at aol.com wrote:
>
> Twice today on NPR I've heard someone (two different someones, I think)
> coming on to say that:
> 1. When taxes were cut under Reagan, tax revenues increased
> 2. In every case where taxes were cut, revenues increased
>
> It seems to me that these statements can't be true (unless the numbers are
> jiggered somehow). Are they?
>
> Leslie



More information about the lbo-talk mailing list