Holtz-Eakin Says Trump Tax Plan Is Built on Fairytale

The transcript discusses Doctor Holtz Eakin's proposal for tax cuts, claiming they would pay for themselves through growth, a notion dismissed by serious economists. It highlights the challenges of real tax reform, which involves making tough choices beyond appeasing the business community. The discussion also covers the administration's initial proposal for a corporate tax rate, seen as a lowball estimate, with expectations of negotiations potentially raising it to 20%. Overall, the proposal is viewed as an opening bid, lacking specifics.

What is the main criticism of Doctor Holtz Eakin's tax cut proposal?

• It is not supported by empirical evidence.

• It is too complex to implement.

• It is too conservative in its estimates.

• It is only beneficial for small businesses.

What does real tax reform require according to the transcript?

• Increasing government spending.

• Making difficult decisions.

• Simplifying tax codes.

• Reducing corporate taxes.

What is the administration's approach to the corporate tax rate in their proposal?

• They plan to increase it to 25%.

• They propose a fixed rate of 10%.

• They suggest a low initial rate of 15%.

• They want to eliminate corporate taxes entirely.

How is the proposed 15% corporate tax rate described in the transcript?

• As a temporary measure.

• As a high estimate.

• As a lowball estimate.

• As a final offer.

What might happen to the corporate tax rate during negotiations?

• It could decrease to 10%.

• It might increase to about 20%.

• It will remain at 15%.

• It could be abolished.