The TPC defends
The TPC has three lines of defense of its assumption on the growth effect of tax reform - firstly, they point to difficulties in estimating such effects; secondly they cite studies showing such effect will be small; thirdly they claim their analysis is robust even if some such growth is assumed.
We have drawn the Tax Policy Center's arguments on this score from their original study of the Romney proposal and from a later FAQ and Responses document. The complete section addressing this matter from the original TPC paper is cited below.
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Visualizing the Romney Tax Debate »Visualizing the Romney Tax Debate
Romney's plan stated »Romney's plan stated
But does it compute? »But does it compute?
No - it does not compute »No - it does not compute
The TPC case »The TPC case
Growth effect claim »Growth effect claim
Ignores growth potential »Ignores growth potential
The TPC defends
Conclusion is robust »Conclusion is robust
Growth effect small »Growth effect small
Modelling difficulties »Modelling difficulties
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