Congress is considering allowing the Bush tax cuts' rate reductions for high-income households to expire at the end of 2010 while providing a deficit-financed extension of the middle-class portion of the tax cuts. This combination would damage economic growth by hiking marginal tax rates on...

Contrary to some commentators' perceptions, the economic case for corporate tax rate reduction does not involve the hope that corporations will “use” their tax savings to make additional investments, pay higher wages, or hire additional employees. Profit-maximizing corporations look at the...

Recent studies assert that corporations receive a government subsidy by being allowed ordinary business expense deductions for payments of performance-based executive compensation. There is no subsidy, however, because the compensation payments do not receive any preferential tax treatment. The...