1. Trump Tax Reform Wisdom
According to WSJ, already the conventional wisdom on the tax law Trump signed in December is moving in his direction.
According to WSJ, already the conventional wisdom on the tax law Trump signed in December is moving in his direction.
2. Whereas prior to the law critics suggested it would provide a modest temporary boost, there’s now an emerging consensus that the law may pull so much investment into the United States that it could impoverish governments across the globe.
3. Nothing says establishment consensus like the International Monetary Fund (IMF). The Journal reports on the findings of a new IMF working paper forecasting the results of the suddenly more competitive United States: 
4. This obviously suggests that foreign governments will be collecting less revenue from U.S. firms. Is Mr. Trump really going to drain swamps all around the planet?
5. The IMF paper notes that prior to the new law, the U.S. corporate income tax rate was the highest in the OECD “with no significant change over 30 years.”
6. The IMF economists add: “Compounded by investor-level taxation of dividends and capital gains, high tax rates discouraged equity investment in the corporate sector while creating a marginal subsidy for debt finance.”
7. What it all means is that by cutting taxes on corporations, Trump has created a business environment which attracts investment from abroad as well as U.S. investors, thereby creating more jobs and prosperity in the U.S. Nancy Pelosi calls it "end of the world."
8. Monday morning quarterbacking is easy. Yours truly called it the day before the Tax reform became law, when it was being trashed nonstop in the media and by the Democrats. I didn't just call it. I explained why and how it will work. See below.
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