A $21 Trillion Tax Cut

by James Ostrowski, Mises.org – 3/20/2001

President Bush has proposed a $1.6 trillion tax cut. I would like to suggest that the president modify his tax proposal. He should increase the size of his tax cut to $21 trillion.

Well, it’s not really a $21 trillion tax cut. It’s a $2.1 trillion tax cut. I got the $21 trillion figure by projecting it for ten years, just as Bush does with his. I don’t know why Washington projects these tax cuts for ten years, since federal budgets are only good for one year and can be changed any time thereafter.