Daniel J. Mitchell, senior fellow at the Cato Institute, joins the Federalist Radio Hour to discuss President Trump’s tax plan, why the border adjustment-tax is a bad idea, corporate tax rates, and how Congress is trying to juggle tax reform.
“The problem with the Trump tax plan, good on paper but here’s the problem. We’re in a fiscal environment where we already have $500 million per year deficits,” Mitchell said. “And if we leave government on auto pilot, we’re going to wind up by the middle of next decade have trillion dollar annual deficits.”
Veronique de Rugy, senior fellow at George Mason University’s Mercatus Center, joins for the last segment to share her positive and negative reactions to Trump’s tax plan. “The problem with the approach they are taking is that economic growth alone is going to be enough, and there’s no indication that this White House is going to reverse its position on cutting spending,” she said.