Cato scholars examine federal, state, and local spending and tax issues from a limited government perspective. They explore the benefits of lower‐rate tax systems, the distortions caused by government spending, and the dangers of rising debt. A guiding principle for budget policy is federalism, the idea that federal activities should be limited and that most government activities are better handled by the states.
Tax and Budget Policy
Featured Content
Janet Yellen Is Wrong on Tax Competition
Nations competing to have better policy is not a zero‐sum game.
Biden Corporate Tax Increase
With Biden’s increase, the U.S. federal‐state corporate tax rate would rise to 33.4 percent, far above the averages abroad.
The Welfare State and Sovereign Debt: Heading for a Cliff
Low interest rates and low inflation can lull us into thinking that government debt isn’t a problem. But it is.
‘Taxing Corporations’ Might Be Good Politics, but It’s Still Bad Policy
It’s no wonder that countries around the world have been lowering corporate tax rates for 40 years.
Biden’s Anti‐Infrastructure Plan
Biden would take with one hand what he gives with another, and the overall economy would shrink as markets are replaced by political resource allocations.
Featured Book
A Fiscal Cliff: New Perspectives on the U.S. Federal Debt Crisis
In this timely volume, scholars and policymakers assess the United States’ fiscal constraints and provide new perspectives that are desperately needed in order to solve the nation’s debt crisis. Previous recommendations focused on the outcomes of fiscal policy, but perhaps we should take a step back and ask whether the fiscal and budget process rules themselves should be reformed. The essays in A Fiscal Cliff suggest that “unless we reform our fiscal rules and institutions, we are not likely to solve the debt crisis and restore sustainable fiscal policies.”
