Let’s look at the Reagan economy.
Lower corporate taxes increased profits, not wages.
The Republican tax plan will probably become law. I expect that it is unlikely to survive the next administration and Congress. But the debts incurred before it is overturned will last for a generation.
A copy of this post is available on my political blog, http://debatablypolitical.blogspot.com/.
1) Drops the nominal corporate income tax rate from 35% to 20%. The current Senate bill, perhaps through an oversight, keeps the minimum corporate tax at 20%, eliminating exemptions by default. It is expected that the reconciliation bill will restore those exemptions, dropping the actual corporate rate below 20%.
University of Pennsylvanian/Wharton review – the tax plan will add about $1.3 trillion to the national debt.