A new independent economic study commissioned by Business Roundtable and conducted by Rice University Professors John Diamond and George Zodrow finds that the tax reforms offered recently by House Ways and Means Committee Chairman Dave Camp (R-MI) would:
Boost After-Tax Wages
For American workers by 2.3 percent two years after enactment, by 3.8 percent after 10 years, and by 6.1 percent over the long term.
Increase U.S. Annual GDP
By 0.9 percent two years after enactment, by 2.2 percent after 10 years, and by 3.1 percent over the long term.
Expand U.S. Annual Domestic Investment
By 1.8 percent two years after enactment, by 6.5 percent after 10 years, and by 6.8 percent over the long term.
Further work is needed on the Camp tax proposals, says Business Roundtable, but – with improvements – tax reform could produce even more growth.
Click here to read a summary of the analysis. Click here to view the full analysis.