What were some of the arguments we heard from Democrats who opposed President Donald Trump’s proposed tax cuts?
The cuts won’t help working class America. The money will only go in the pockets of the wealthy. The cuts won’t help the economy and they will cost too much and not generate enough revenue to offset those costs. These were also the concerns of the Congressional Budget Office.
However, recent reports are proving the Democrats and the Congressional Budget Office to be dead wrong. The tax cuts have boosted the economy, as they did in Reagan’s day and in many areas, the tax cuts are also generating enough income to largely offset the costs.
(Investor’s Business Daily) – Taxes: When the Congressional Budget Office released its updated budget forecast, everyone focused on the deficit number. But buried in the report was the CBO’s tacit admission that it vastly overestimated the cost of the Trump tax cuts, because it didn’t account for the strong economic growth they would generate.
Among the many details in the report, the one reporters focused on was the CBO’s forecast that the federal deficit would top $1 trillion in 2020, two years earlier than the CBO had previously said.
And, naturally, most news accounts blamed the tax cuts. “U.S. budget deficit to balloon on Republican tax cuts” is how Reuters put it in a headline.
But there’s more to the story that the media overlooked.
First, the CBO revised its economic forecast sharply upward this year and next…
Every Republican running for office in this year’s midterm elections should latch onto these figures and use them to help get them elected. They need to tell voters that if they elect Democrats, the tax cuts will end and they’ll lost more of their take home pay and it will cost jobs, putting more of them out of work. To many voters, that’s the bottom line.