Cohn Says Trade Disputes Could Wipe Out Tax Cut Benefits
- Trade fight risks triggering economic slowdown, he says
- ‘Trade deficit doesn’t matter,’ adds ex-Trump economic adviser
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Gary Cohn, President Donald Trump’s former top economic adviser, said trade disputes could wipe out the benefits of the tax cuts Congress passed last year and may trigger an economic slowdown.
Companies are hesitating to make investments because they want to see how the trade negotiations play out, according to Cohn, who previously served as president of Goldman Sachs Group Inc. The tax overhaul slashed the corporate rate to 21 percent from 35 percent, and created other incentives for businesses, such as writing off capital expenditures right away.