Schumer Responds to President Trump’s Speech on Taxes Before National Association of Manufacturers

September 29, 2017

Washington, D.C. – U.S. Senator Chuck Schumer released the below statement following President Trump’s speech regarding taxes:

“Time and time again Republicans have argued that tax cuts for big business and the wealthy will grow the economy, but each time that promise has proven to ring hollow. Cutting taxes for the wealthiest Americans and giant corporations leads to bigger CEO bonuses, more stock buybacks and dividends for shareholders – not jobs and higher wages.

“Rather than proposing the same tax cuts that have failed to grow the economy in the past, the President should work in a bipartisan way on proposals that would actually invest in America’s workers and grow the economy for the middle class.”

Background

Bruce Bartlett, Former Domestic Policy Adviser to President Reagan: “In reality, there’s no evidence that a tax cut now would spur growth.” [Washington Post, 9/28/17]

Bruce Bartlett, Former Domestic Policy Adviser to President Reagan: “Virtually everything Republicans say about taxes today is a lie. Tax cuts and tax rate reductions will not pay for themselves; they never have. Republicans don’t even believe they will, they are just excuses to slash spending for the poor when revenues collapse and deficits rise. There is no evidence that tax reform raises growth, although it may improve fairness and tax administration.” [USA Today, 9/27/17]

Washington Post Fact Checker: “No serious economist believes that a tax cut boosts economic growth so much that the tax cut pays for itself.” [Washington Post, 9/29/17]

Bloomberg: “Twenty-one of 26 economists surveyed by Bloomberg News after Trump and Republican congressional leaders rolled out their tax plan this week predicted it will widen the budget gap over the next 10 years. That forecast flies in the face of Treasury Secretary Steven Mnuchin’s assertion that the program will slash deficits by spurring faster economic growth and thus more federal revenue.” [Bloomberg, 9/28/17]