GOP's Failure on Tax Policy

Market Center Blog discusses one of the most important issues for the GOP in changing tax policy: reforming the Joint Committee on Taxation. Overwhelming Democratic in its composition, the JCT's assumptions about government revenue are outdated and anti-supply side. The JCT typically does not notice a significant distinction in "cost" between a tax cut aimed at consumer and investor behavior from a tax cut that is a simple rebate. (One of the reasons that the budget deficit came in approximately $100 billion lower than original projections.)

Like the CIA and FBI, it's time for a dramatic shakeup at the JCT. Just as the Supreme Court ultimately has a major impact on legislation, the JCT has a major impact on tax policy.