No sooner had Republicans passed much needed tax reform than they agreed to an awful budget deal that will undermine it.
Government spending is the true long-term tax burden of government activity. So, to sustain a new, more competitive tax code, which cuts rates, Republicans should have made spending cuts. This was the perfect opportunity to balance the budget and lock in reform. Instead, Republicans did the opposite: trading their favored huge defense spending increases for Democrats' desired hikes in other areas. As a result, a deficit already forecast to widen substantially will blow up much sooner, putting the gains from tax reform in jeopardy.
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