JPM's Kasman Says Tax Cut Doesn’t Make Sense Now

The video discusses the ongoing debate about the US deficit, highlighting expert opinions on the potential impact of tax cuts and economic cycles. It examines the unprecedented 4% GDP deficit during full employment and the implications of providing stimulus. The discussion also touches on supply-side economics, comparing current debt levels to those during the Reagan era, and considers the appropriateness of tax reform in the current economic climate.

What is the main concern regarding the US deficit as discussed in the first section?

• The deficit is at an all-time low.

• The deficit is growing without proper management.

• The deficit is irrelevant to current economic conditions.

• The deficit is decreasing too quickly.

What is the unprecedented situation mentioned in the second section?

• A 4% GDP deficit during full employment.

• A 10% GDP surplus during a recession.

• A balanced budget during economic growth.

• A 2% GDP deficit during a financial crisis.

Who is involved in the economic debate highlighted in the second section?

• Larry Summers and Doctor Hassett

• Douglas Holtz Eakin and Doug Elmendorf

• Janet Yellen and Ben Bernanke

• Ronald Reagan and George Bush

How do current debt levels compare to those during the Reagan era?

• Current debt levels are about the same.

• Current debt levels are much lower.

• Current debt levels are irrelevant.

• Current debt levels are much higher.

What was the economic condition during the tax cut in the early 1980s?

• The economy was in a very weak position.

• The economy was stable.

• The economy was in a strong position.

• The economy was experiencing hyperinflation.