TechFlow news, on December 13, according to Jinshi News, the latest analysis from nonpartisan fiscal watchdog "Committee for a Responsible Federal Budget" (CRFB) shows that Trump's proposed extension of tax cuts would have limited impact on economic growth. According to an assessment by the Congressional Budget Office (CBO), allowing tax cuts to expire would reduce the budget deficit by $3.7 trillion over ten years. While budget models from the Tax Foundation and Wharton School suggest that extending tax cuts might bring modest economic growth, the gains fall far short of covering the costs.
Trump's campaign team has proposed three key measures: lowering the corporate tax rate to 15%, imposing 10%-20% tariffs on imported goods, and establishing a "Department of Government Efficiency" to cut spending. David Seif, Chief Economist at Nomura Securities, warned that the current fiscal outlook continues to deteriorate, leaving little room for further tax reductions. Stephen Jen, CEO of Eurizon SLJ Capital, emphasized that spending cuts and government streamlining will be critical tasks during a potential second Trump term, as tax cuts alone cannot achieve economic growth objectives.
