David R. Malpass before the
Subcommittee on Taxation
Senate Finance Committee
June 30, 2005
Malpass attempts to extol the benefits of the Bush Tax Cuts, but he should learn to truncate his graphs. Most show the initial Bush Tax Cut unable to match any performance of the Clinton Years, or even the reign of his father. The 2003 Tax Cut barely matches the scenario of the 1995-97 graph. The lengthened Graphs could be used as Proof that neither Tax Cut or Tax Increase has much effect on economic performance, an item dependent upon overall economic conditions.
The Malpass graphing effort does outline extreme Equity inflation due to the Tax Cuts, as expressed by the huge increase in Equity value without corresponding amounts of Household Income Growth. His data estimate of the impact of the Tax Cuts is widely overstated using Quarter gain estimates of the three following Quarters--where Production had already been in progress and reflecting the economic recovery made prior to the Tax Cuts. This Author thinks the prime characteristic about the Bush Tax Cuts (both) lies in their inability to graphically portray a assumed acceleration in economic performance.
Other Testimony of Real Contribution:
Finance Subcommittee on Taxation and IRS Oversight
on the date of
June 30, 2005
on the subject of
Section 179 Expensing
ROBERT WEINBERGER, VICE PRESIDENT, H&R BLOCK
"ENCOURAGING SAVINGS AND INVESTMENT:
STAY THE COURSE OR CHANGE DIRECTION?"
SUBCOMMITTEE ON TAXATION, SENATE FINANCE COMMITTEE
JUNE 30, 2005