Special Report No. 62
Executive Report Republican Presidential candidate Bob Dole unveiled the heart of his economic program on August 5. The centerpiece of the plan is a set of taxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities. cuts that, if enacted, are projected to reduce federal receipts by $12 billion in 1997, $123 billion in 2001 when fully phased in, and $548 billion over six years. In addition to tax relief, Senator Dole called for overhauling the federal income tax system, passage of the Balanced Budget Amendment and enactment of a balanced budget by the year 2002, expansion of the federal role in job training, growth-oriented regulatory reform, and lawsuit reform.
The Dole plan resolves the apparent conflict between tax reduction and eliminating the deficit by restraining federal spending and through increased revenues from accelerated economic growth. There are many controversial elements of the plan’s fiscal components. This Report presents some key facts and observations surrounding some of these controversies.Share