Taxes

After Pushback, Trump Advisers Say Harvard Economists Got Their Own Paper Wrong

Written by SK Ashby

Remember the Trump regime's fantastical claim that cutting taxes for corporations and the rich will send wages soaring?

That claim was partially based on a study written by a group of economists at Harvard University, but one of the men behind the study says the White House got it wrong.

Mr. Trump’s Council of Economic Advisers said in a report released on Monday that reducing corporate taxes could raise average household incomes by as much as $9,000 a year. The top end of that estimate was based on work by a trio of researchers, and on Tuesday one of them, Mihir Desai of Harvard, said Mr. Trump’s team had misread the research. The actual income gain implied by his study, he estimated, would be $800.

Mr. Trump’s economic team disagreed — saying Mr. Desai had erred in interpreting his own paper.

It's a bold move telling a group of economists at Harvard that they drew the wrong conclusions from their own goddamn research paper.

CNN has released a new poll that found a majority of Americans oppose Trump's tax cuts for the rich. The poll also found that only 24 percent of Americans believe the tax cuts will personally benefit them or their family.

I don't think the GOP's standard tax cut rhetoric is going to work as well in 2017 as it did when George W. Bush cut taxes. That doesn't necessarily mean they won't be able to pass something, but whatever they pass will not be popular with the public.