Friday, March 3, 2017

Why Kansas' Fiscal Implosion Is Bad News for Trump

http://www.motherjones.com/politics/2017/02/sam-brownback-kansas-tax-cuts-donald-trump
"Trump and Brownback share a tax guide: Reaganomics guru Art Laffer. Laffer is best known for the Laffer curve, a diagram of his hypothesis that lowering tax rates could increase tax revenue by boosting economic output. Kansas paid $75,000 for Laffer to spend three days consulting with lawmakers on the state's tax plans. Laffer also visited Trump Tower to consult on tax reform last year, and in December he called Trump's campaign tax plans "terrific." When Trump's treasury secretary nominee went before the Senate last month, Trump's transition press office emailed reporters a list of endorsements that started with glowing praise from Laffer. "Steven Mnuchin is a wonderful choice for Treasury Secretary," Laffer said. "He has a great understanding of finance, markets, and housing. He is committed to tax reform that will get our economy growing, create jobs, and make America the best place to do business." By now, it's clear that Brownback's tax experiment hasn't produced the growth he promised. But that hasn't put an end to Republican efforts to replicate it on the national level. In December, Brownback suggested to the Wall Street Journal that Kansas' tax reforms could offer a model for Trump. And on Thursday morning, Brownback is scheduled to speak—almost certainly about his taxation model—at the annual Conservative Political Action Conference in Washington, DC, on a panel titled "How Governors are Reclaiming America's Promise"."