Wolfers comments on failed U.K. tax cut plan

October 20, 2022 CNN

Justin Wolfers, CNN: "What I found most interesting is that she sort of tried to implement a – supply side would be one word, Reaganesque would be another word – set of policies. That, of course, is very much what certain wings of the Republican Party are very interested in. And one typically claims that markets will like that. You would expect markets to like it. But actually even financial markets thought that these claims that these big tax cuts pay for themselves was just absolute bollocks. I think it changes the terms of the debate around big tax cuts. The claim that you’ve often heard, particularly in the US, has been the more we give rich people tax cuts, it will spur so much entrepreneurship they’ll pay for themselves. We heard that talk before with both the Bush and the Trump tax cuts. And you’ve got the actual people betting billions of dollars here saying that seems like BS."