Economics
Trump’s 15% Corporate Tax Plan May Just Be His Opening Gambit
- As candidate, he predicted: ‘It’s going to be negotiated’
- Plan seen creating deficits, requiring sharp limits on cuts
Trump Team Pitches Tax Plan to Congress
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President Donald Trump’s call to slash the corporate tax rate to 15 percent -- a number that many economists say would boost the deficit so much that the cut would be short-lived -- may be less about policy and more about deal-making.
“Is this an opening, somewhat unrealistic gambit to a negotiation?” asked James Sweeney, who leads the U.S. economics team and co-heads the global strategy and economics team at Credit Suisse. “And the broader economics -- what are the other components to tax reform? We’d be silly to pencil in the 15 percent rate and adjust our expectations accordingly.”