Dynamic Scoring and Budget Estimations
Dynamic scoring is meant to provide a more complete picture of the budget effects of tax and spending proposals by incorporating the macroeconomic effects of the legislation. Official estimates already...
View ArticleFiscal Policy and Economic Growth : A Simple Framework
The effect of fiscal policy on economic growth is a controversial and long-standing topic in economic theory, empirical research, and economic policymaking. It is at the heart of the policy debate...
View ArticleScore-Keeping and Spending
Dynamic score-keeping -- the recording of budget feedback effects as people react to government actions such as tax cuts -- is a hot topic again, fueled in part by the recent release of a Congressional...
View ArticleMaking the Right Case for Dynamic Analysis
A recent Congressional Budget Office report presented many estimates, both positive and negative, for the effect of the presidents proposed tax cut on the economy. In issuing this report, CBO...
View ArticleThe Economic Effects of Long-Term Fiscal Discipline
This paper examines long-term fiscal discipline and economic performance, with two main results. First, declines in budget surpluses (increases in deficits) reduce national saving and therefore reduce...
View ArticleThe Budget Outlook : Baseline and Adjusted Projections
The CBO's new budget update provides the opportunity to reassess fiscal prospects and reconsider policy options. This paper examines the baseline CBO projections and adjusts the official data in ways...
View ArticleThe 'No New Taxes' Pledge
This article examines the "no new taxes" pledge that has been signed by President Bush and 258 members of Congress. Although it is intended to restrict the size of government, the authors believe that...
View ArticleBush Administration Tax Policy : Introduction and Background
This paper is the first of a series that summarizes and analyzes these policies and proposals. The series has two broad goals: to describe, interpret, and assess what has happened; and to examine the...
View ArticleDynamic Scoring: Not so Fast!
Using dynamic scoring to weigh the effects of tax and spending proposals poses a high risk that ideological biases will pollute the analysis, senior fellow Rudolph Penner warns in a <em>Ripon...
View ArticleAmerica Is Playing With Fire With Its Default Talk
In a contribution to the Christian Science Monitor, Donald Marron argues that the ongoing public discussion of a default poses a major threat to U.S. financial markets.
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