Minnesota Gov. Tim Pawlenty, a candidate for the Republican presidential nomination, put forward an economic plan that he said would raise growth rate of the real gross domestic product to 5 percent per year from its historical level of about half that. His only specific proposal for achieving this ambitious goal was to slash tax rates on the wealthy.
Pawlenty would cut the top individual income tax rate from 35 percent to 25 percent, cut the corporate rate from 35 percent to 15 percent, and eliminate completely all taxation of capital gains, interest and dividends â the principal sources of income for the wealthy. Implausibly, Pawlenty asserted that despite reducing revenues by some $8 trillion over the next 10 years â from the lowest level of federal revenues as a share of GDP in 60 years â that his plan would balance the budget.
http://www.thefiscaltimes.com/Colum...lly-Matters-for-Growth-Its-Not-Tax-Rates.aspx
Pawlenty would cut the top individual income tax rate from 35 percent to 25 percent, cut the corporate rate from 35 percent to 15 percent, and eliminate completely all taxation of capital gains, interest and dividends â the principal sources of income for the wealthy. Implausibly, Pawlenty asserted that despite reducing revenues by some $8 trillion over the next 10 years â from the lowest level of federal revenues as a share of GDP in 60 years â that his plan would balance the budget.
http://www.thefiscaltimes.com/Colum...lly-Matters-for-Growth-Its-Not-Tax-Rates.aspx
