February 28, 2014
AAF Research Finds Tax Simplification Leads To 500,000 Jobs Added, Up to 5 Percent Increase in GDP
The American Action Forum (@AAF) released new research examining the need to modernize and simplify the U.S. tax code, the economic impact of such improvements, and the recent proposal by Ways and Means Chairman Dave Camp. AAF found that enacting pro-growth tax simplification could result in significant economic benefits, including: as many as 500,000 new jobs, up to a 5 percent increase in GDP, and $1.5 trillion in deficit reduction.
The research was conducted by AAF’s President Douglas Holtz-Eakin and AAF’s Fiscal Policy Director Gordon Gray.
“Pro-growth tax reform is critical to improving the sluggish U.S. economy,” said Holtz-Eakin and Gray in the paper. “Fundamental tax reform that encompasses both the corporate and individual components, and does so in a pro-growth fashion, through lower rates and simplification, of the tax code offers an opportunity to spur economic growth.”
Click here to read the research.