U.S. Investment Since the Tax Cuts and Jobs Act of 2017

U.S. Investment Since the Tax Cuts and Jobs Act of 2017
Author: Emanuel Kopp
Publisher: International Monetary Fund
Total Pages: 37
Release: 2019-05-31
Genre: Business & Economics
ISBN: 1498317049

There is no consensus on how strongly the Tax Cuts and Jobs Act (TCJA) has stimulated U.S. private fixed investment. Some argue that the business tax provisions spurred investment by cutting the cost of capital. Others see the TCJA primarily as a windfall for shareholders. We find that U.S. business investment since 2017 has grown strongly compared to pre-TCJA forecasts and that the overriding factor driving it has been the strength of expected aggregate demand. Investment has, so far, fallen short of predictions based on the postwar relation with tax cuts. Model simulations and firm-level data suggest that much of this weaker response reflects a lower sensitivity of investment to tax policy changes in the current environment of greater corporate market power. Economic policy uncertainty in 2018 played a relatively small role in dampening investment growth.

Tax Increase Proposals

Tax Increase Proposals
Author: United States. Congress. Senate. Committee on Finance
Publisher:
Total Pages: 508
Release: 1974
Genre: Taxation
ISBN:

Tax Increase Proposals

Tax Increase Proposals
Author: United States. Congress. Senate. Committee on Finance
Publisher:
Total Pages: 896
Release: 1974
Genre: Taxation
ISBN:

Tax Reform Proposals

Tax Reform Proposals
Author: United States. Congress. Senate. Committee on Finance
Publisher:
Total Pages: 632
Release: 1985
Genre: Income tax deductions for charitable contributions
ISBN:

Budget options

Budget options
Author: United States. Congressional Budget Office
Publisher:
Total Pages: 380
Release: 1977
Genre: Budget
ISBN: