Greene, McKee on U.S. Tax Reform and Economic Growth

The transcript discusses skepticism about the potential growth from tax reform, with references to Larry Summers' views. It highlights a divide among economists, with some conservative economists predicting more growth than others. The discussion also covers the impact of tax reform on various industries, noting that industries with higher effective tax rates, like retail and telecoms, may benefit more.

What is the main reason for skepticism about the sustainability of growth due to tax reforms?

• Over-reliance on soft data

• Insufficient hard data to support confidence data

• Lack of confidence in animal spirits

• High effective tax rates in all industries

What was the reaction of the economic community to the letter from conservative economists?

• It was praised for its innovative approach

• It was ignored by most economists

• It caused consternation due to reliance on faulty data

• It was widely accepted as accurate

By what year do economists predict a potential contraction due to the expiration of stimulus programs?

• 2030

• 2027

• 2025

• 2023

Which industries are expected to benefit the most from lower tax rates?

• All industries equally

• Financials and tech industries

• Industries with high effective tax rates like retail and telecoms

• Industries with low effective tax rates

What is the expected impact of tax reforms on financials and semiconductor industries?

• No impact at all

• Complete transformation

• A significant decline

• Some boost in growth