“Martin Feldstein, former chief economic adviser to Ronald Reagan, says the most important cloud on the economic recovery horizon is the large tax increase that will occur next year unless legislation is passed to block it.
“The Congressional Budget Office predicts that, under current law, the revenue of the federal government will rise from $2.4 trillion in the current fiscal year, which ends in September, to $2.9 trillion in the following fiscal year,” Feldstein writes in the Financial Times.
That increase of $512 billion is equivalent to 2.9 percent of GDP, bringing federal revenue as a share of GDP from 15.8 percent this year to 18.7 percent next year, notes Feldman, a professor of economics at Harvard University. …”
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Taxes will not be raised. Spending will not be cut. Debt ‘limit’ will be raised. Feldstein will be ignored.
indeud
Taxes will not be raised if Zero is shown the door. If he is re-elected, he’s got nothing to lose, and raising “taxes on the rich” is one of his fondest desires.
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