Economics
Tax Plan Seen Boosting U.S. Growth a Bit While Denting Housing
- Economists penciling in quarter-point increase to 2018 GDP
- Minority of respondents says plan raises odds of recession
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President Donald Trump’s planned tax overhaul is likely to boost U.S. economic growth by about a quarter percentage point in 2018, yet it will also dent demand for housing and fail to lower the chances of a recession, according to a Bloomberg News survey.
Three-quarters of 33 economists responding from Friday to Monday expect Congress to pass a version of the House tax bill announced last week. Of those expecting passage, all 22 responding predicted some boost from the $1.5 trillion, 10-year proposal, with gains ranging from 0.05 to 0.9 percentage point and a median of 0.28 point.