Phil Gramm, a former senator out of Texas, wrote a column for the Wall Street Journal explaining how tax cuts were generally beneficial to economic growth. His basic thesis in the piece is that lower tax rates spur economic growth, which benefits everyone and helps to reduce budget deficits. The article, whether it be absolutely correct or totally off base, represents a form of specious propaganda. The article states that President Obama was responsible for imposing a 40% death tax. Despite the surface truth of the statement, Gramm fails to offer any additional context, ignoring the fact that the 40% rate was an increase from the prior 35% estate tax. He also fails to mention that the 40% rate is the lowest since 1932 and that higher estate tax rates did not discourage economic growth during the 1980s and 1990s. Discussion about taxes and tax policy is not benefitted when knowledgeable individuals offer half-truths and misinformation in support of their argument.
See Bernie Kent, Fact and Fiction About Estate Tax Repeal, Forbes, October 10, 2017.
Special thanks to Bob Levy for bringing this article to my attention.
