The GOP and President Trump’s latest proposal for tax reform would hurt the majority of Americans with higher taxes to give cuts to the rich, holds Chris Weigant of the Huffington Post. In a recent Missouri speech, Trump got the crowd excited about his tax ideas even though the speech lacked some crucial details. He is likely to try to reduce the taxes that affect him and his businesses. Simply lowering taxes for America’s best earners risks creating a significant budget deficit. Trump seems to be a firm believer in trickle-down economics, a model that has consistently benefited rich entities and hurt the middle class.
The Republican tax plan will likely boost the American economy by encouraging companies to bring home money from abroad, spurring growth, writes Martin Feldsein in Project Syndicate. The U.S. has one of the highest corporate tax rates in the developed world, which, if reduced, would boost the country’s businesses. Additionally, the GOP wants to remove a law that taxes profits brought in from other countries, which is unique to the U.S. This would encourage companies to bring back money to invest on U.S. soil. Any deficits to the budget will be balanced out by increased corporate productivity.